-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 AdA9qY5UL0QNQVqVkDjjEz/qV6Cfb29feYyz3/qRmwlLP4FHw2g413a+btDauGES
 tiiYvzFcJERsJDVF9h9HUQ==

<SEC-DOCUMENT>0000902664-03-001924.txt : 20031212
<SEC-HEADER>0000902664-03-001924.hdr.sgml : 20031212
<ACCEPTANCE-DATETIME>20031212191647
ACCESSION NUMBER:		0000902664-03-001924
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20031210
FILED AS OF DATE:		20031212

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			MILLENNIUM MANAGEMENT LLC
		CENTRAL INDEX KEY:			0001273087
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-19871
		FILM NUMBER:		031052894

	MAIL ADDRESS:	
		STREET 1:		666 FIFTH AVE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10103-0899

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			MILLENNIUM HOLDING GROUP LP
		CENTRAL INDEX KEY:			0001273089
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-19871
		FILM NUMBER:		031052892

	MAIL ADDRESS:	
		STREET 1:		666 FIFTH AVE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10103-0899

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			RIVERVIEW GROUP LLC
		CENTRAL INDEX KEY:			0001273091
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-19871
		FILM NUMBER:		031052893

	MAIL ADDRESS:	
		STREET 1:		666 FIFTH AVE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10103-0899

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			STEMCELLS INC
		CENTRAL INDEX KEY:			0000883975
		STANDARD INDUSTRIAL CLASSIFICATION:	BIOLOGICAL PRODUCTS (NO DIAGNOSTIC SUBSTANCES) [2836]
		IRS NUMBER:				943078125
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		3155 PORTER DRIVE
		STREET 2:		.
		CITY:			PALO ALTO
		STATE:			CA
		ZIP:			94304
		BUSINESS PHONE:		6504753100

	MAIL ADDRESS:	
		STREET 1:		3155 PORTER DRIVE
		STREET 2:		.
		CITY:			PALO ALTO
		STATE:			CA
		ZIP:			94304

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CYTOTHERAPEUTICS INC/DE
		DATE OF NAME CHANGE:	19930328

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			ENGLANDER ISRAEL A
		CENTRAL INDEX KEY:			0001017456

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-19871
		FILM NUMBER:		031052891

	BUSINESS ADDRESS:	
		STREET 1:		111 BROEDWAY 20TH FLOOR
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10006
		BUSINESS PHONE:		2123767158

	MAIL ADDRESS:	
		STREET 1:		111 BROADWAY 20TH FLOOR
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10006
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>srz9556922v2_ex.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<!-- - EDGAR Ease Plus 1.0                                   07/25/03  TT    -->
<ownershipDocument>
    <schemaVersion>X0201</schemaVersion>

    <documentType>4</documentType>
   <periodOfReport>2003-12-10</periodOfReport>
   <notSubjectToSection16>0</notSubjectToSection16>
    <issuer>
        <issuerCik>0000883975</issuerCik>
        <issuerName>STEMCELLS INC</issuerName>
        <issuerTradingSymbol>STEM</issuerTradingSymbol>
   </issuer>
   <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001273087</rptOwnerCik>
            <rptOwnerName>MILLENNIUM MANAGEMENT LLC</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>666 FIFTH AVE</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>NEW YORK</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>10103-0899</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
         <isDirector>0</isDirector>
         <isOfficer>0</isOfficer>
         <isTenPercentOwner>1</isTenPercentOwner>
         <isOther>0</isOther>
      </reportingOwnerRelationship>
   </reportingOwner>
   <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001273091</rptOwnerCik>
            <rptOwnerName>RIVERVIEW GROUP LLC</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>666 FIFTH AVE</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>NEW YORK</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>10103-0899</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
         <isDirector>0</isDirector>
         <isOfficer>0</isOfficer>
         <isTenPercentOwner>1</isTenPercentOwner>
         <isOther>0</isOther>
      </reportingOwnerRelationship>
   </reportingOwner>
   <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001273089</rptOwnerCik>
            <rptOwnerName>MILLENNIUM HOLDING GROUP LP</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>666 FIFTH AVE</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>NEW YORK</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>10103-0899</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
         <isDirector>0</isDirector>
         <isOfficer>0</isOfficer>
         <isTenPercentOwner>1</isTenPercentOwner>
         <isOther>0</isOther>
      </reportingOwnerRelationship>
   </reportingOwner>
   <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001017456</rptOwnerCik>
            <rptOwnerName>ENGLANDER ISRAEL A</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>111 BROADWAY 20TH FLOOR</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>NEW YORK</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>10006</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
         <isDirector>0</isDirector>
         <isOfficer>0</isOfficer>
         <isTenPercentOwner>1</isTenPercentOwner>
         <isOther>0</isOther>
      </reportingOwnerRelationship>
   </reportingOwner>
 <nonDerivativeTable>
   <nonDerivativeTransaction>
      <securityTitle>
         <value>Common Stock, par value $0.01 per share (&quot;Common Stock&quot;)</value>
      </securityTitle>
      <transactionDate>
         <value>2003-12-10</value>
      </transactionDate>
      <transactionCoding>
         <transactionFormType>4</transactionFormType>
         <transactionCode>S</transactionCode>
         <equitySwapInvolved>0</equitySwapInvolved>
      </transactionCoding>
      <transactionAmounts>
         <transactionShares>
           <value>1700</value>
         </transactionShares>
         <transactionPricePerShare>
           <value>2.24</value>
         </transactionPricePerShare>
         <transactionAcquiredDisposedCode>
           <value>D</value>
         </transactionAcquiredDisposedCode>
      </transactionAmounts>
      <postTransactionAmounts>
         <sharesOwnedFollowingTransaction>
           <value>4998300</value>
         </sharesOwnedFollowingTransaction>
      </postTransactionAmounts>
      <ownershipNature>
         <directOrIndirectOwnership>
            <value>I</value>
            <footnoteId id="F1"/>
            <footnoteId id="F2"/>
            <footnoteId id="F3"/>
         </directOrIndirectOwnership>
         <natureOfOwnership>
            <value>See</value>
            <footnoteId id="F1"/>
            <footnoteId id="F2"/>
            <footnoteId id="F3"/>
         </natureOfOwnership>
      </ownershipNature>
   </nonDerivativeTransaction>
   <nonDerivativeTransaction>
      <securityTitle>
         <value>Common Stock</value>
      </securityTitle>
      <transactionDate>
         <value>2003-12-10</value>
      </transactionDate>
      <transactionCoding>
         <transactionFormType>4</transactionFormType>
         <transactionCode>S</transactionCode>
         <equitySwapInvolved>0</equitySwapInvolved>
      </transactionCoding>
      <transactionAmounts>
         <transactionShares>
           <value>114806</value>
         </transactionShares>
         <transactionPricePerShare>
           <value>2.01</value>
         </transactionPricePerShare>
         <transactionAcquiredDisposedCode>
           <value>D</value>
         </transactionAcquiredDisposedCode>
      </transactionAmounts>
      <postTransactionAmounts>
         <sharesOwnedFollowingTransaction>
           <value>4883494</value>
         </sharesOwnedFollowingTransaction>
      </postTransactionAmounts>
      <ownershipNature>
         <directOrIndirectOwnership>
            <value>I</value>
            <footnoteId id="F1"/>
            <footnoteId id="F2"/>
            <footnoteId id="F3"/>
         </directOrIndirectOwnership>
         <natureOfOwnership>
            <value>See</value>
            <footnoteId id="F1"/>
            <footnoteId id="F2"/>
            <footnoteId id="F3"/>
         </natureOfOwnership>
      </ownershipNature>
   </nonDerivativeTransaction>
 </nonDerivativeTable>
   <footnotes>
      <footnote id="F1"> This transaction was affected by The Riverview Group, LLC, a Delaware limited liability company (&quot;Riverview&quot;), which as of the date hereof directly holds 9,026,048 shares of Common Stock of StemCells, Inc. (the &quot;Company&quot;). Riverview is a wholly owned subsidiary of Millennium Holding Group, L.P., a Delaware limited partnership (&quot;Holding&quot;).  Millennium Management LLC, a Delaware limited liability company (&quot;Millennium Management&quot;), is the general partner of Holding and consequently has voting control and investment discretion over securities owned by Holding and by Riverview.</footnote>
      <footnote id="F2"> Israel A. Englander (&quot;Mr. Englander) is the sole managing member of Millennium Management.  As a result, Mr. Englander may be considered the beneficial owner of any shares deemed to be beneficially owned by Millennium Management.  Each of Holding, Millennium Management and Mr. Englander disclaims any beneficial ownership of the shares owned by Riverview to the extent such beneficial ownership exceeds such person's pecuniary interest.</footnote>
      <footnote id="F3"> Millennium Partners, L.P., a Cayman Islands limited partnership (&quot;Partners&quot;), is a limited partner of Holding.  As a limited partner, Partners has no ability to control Holding.  Therefore, as of the date of this filing, Partners may not be deemed a beneficial owner of the shares of the Company or a member of the above-listed group.</footnote>
   </footnotes>
   <ownerSignature>
      <signatureName>MILLENNIUM MANAGEMENT, LLC By: /s/ Israel A. Englander, Managing Member</signatureName>
      <signatureDate>2003-12-12</signatureDate>
   </ownerSignature>
   <ownerSignature>
      <signatureName>THE RIVERVIEW GROUP, LLC By: /s/ Terry Feeney, Chief Executive Officer</signatureName>
      <signatureDate>2003-12-12</signatureDate>
   </ownerSignature>
   <ownerSignature>
      <signatureName>MILLENNIUM HOLDING GROUP, L.P. By: Millennium Management, LLC as General Partner By: /s/ Israel A. Englander as Sole Mng Member</signatureName>
      <signatureDate>2003-12-12</signatureDate>
   </ownerSignature>
   <ownerSignature>
      <signatureName>/s/ Israel A. Englander</signatureName>
      <signatureDate>2003-12-12</signatureDate>
   </ownerSignature>
</ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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