Summary
A relatively small group of pharmaceutical companies including
GlaxoSmithKline, Roche and Sanofi-Aventis
which make vaccines have the market cornered when it comes to the front lines of the global fight against swine flu. But well positioned smaller companies could benefit
which make vaccines have the market cornered when it comes to the front lines of the global fight against swine flu. But well positioned smaller companies could benefit
Analysis
Because demand is likely to exceed early supplies for H1N1 vaccines, companies will be looking for help to allow supply to catch up to global demand.
This means they will outsource wherever possible, including any help they can get speeding along the manufacture of vaccines for seasonal flu, which is now spreading in the southern hemisphere (as expected).
While the WHO called Swine Flu a "pandemic", it is important to understand that the word simply means that the disease is widespread. It in no way speaks to the virulence of the disease. In fact, it has been far less lethal than many initially feared.
But because of questions about potential mutations of the disease, there are still more questions than answers -- and this uncertainty benefits rather than hinders companies which can provide products to jittery governments and global organizations to fight the pandemic.
Jeff Stier consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
