"Vaccine Manufacturer's Shares Surge After WHO Declares Health Emergency for Mpox Outbreak in Africa"

Shares of mpox vaccine manufacturers, including Danish company Bavarian Nordic, surged on Thursday following the World Health Organization's declaration of a public health emergency due to an escalating outbreak in Africa. The declaration has prompted a global scramble to deploy resources to control the outbreak and prevent a potential pandemic.

Key Facts

• Bavarian Nordic’s shares spiked up to 17% in early Copenhagen trading, though gains moderated to around 11% as the day progressed. This follows a 12% increase from the previous day, coinciding with the WHO's announcement of a public health emergency.

• Bavarian Nordic is one of the few companies with an approved mpox vaccine, and its product is the preferred choice of global health authorities due to its lower risk profile. The vaccine is marketed under the names Jynneos, Imvamune, and Imvanex. U.S.-traded shares of Bavarian Nordic rose nearly 33% in premarket trading on Thursday.

• Emergent BioSolutions, which acquired the smallpox vaccine ACAM2000 (believed to also offer protection against mpox) from Sanofi in 2017, saw its shares jump nearly 12% by market close on Wednesday. However, shares fell over 3.5% in premarket trading Thursday.

• Tonix Pharmaceuticals, with an experimental vaccine in early trials for horsepox and potential applications for smallpox and mpox, experienced a 3.6% dip in premarket trading, reversing a 2.7% gain from the previous day.

Current Treatments for Mpox

Treatment options for mpox are limited and not extensively tested due to the disease's rarity. Some smallpox therapies, which are more established, may provide some benefit. Tecovirimat, an antiviral drug approved for smallpox, has been used under emergency protocols for mpox during the 2022 outbreak. Siga Technologies' Tpoxx, though not yet specifically approved for mpox, saw its shares rise nearly 27% by market close on Wednesday and continued to increase by over 1% in premarket trading Thursday.

News Summary

On Wednesday, WHO Director-General Tedros Adhanom Ghebreyesus declared a public health emergency of international concern, following a similar declaration by the Africa CDC. Mpox, formerly known as monkeypox, spreads primarily through close contact and can cause severe illness, particularly in vulnerable populations. The current outbreak, characterized by a more dangerous variant, has resulted in over 17,000 suspected cases and more than 500 deaths this year. This variant has a significantly higher fatality rate compared to the one responsible for the 2022 global outbreak.

Key Statistic

Bavarian Nordic has 300,000 doses of its mpox vaccine ready for immediate shipment. The company, in collaboration with the European Commission, has already donated over 215,000 doses and aims to provide 2 million doses to Africa by year-end and 8 million by 2025.

Looking Ahead

Bavarian Nordic's CEO Paul Chaplin emphasized the need for swift decision-making to secure vaccine doses, noting that the process needs to be expedited as the outbreak continues. Vaccination remains a crucial part of the strategy to control the outbreak, but the high cost of the vaccine—approximately $100 per dose—poses a significant challenge, especially for low-income regions like the DRC, where the GDP per capita is about $650.