The World Health Organization (WHO) declared a public health emergency this week in response to the mpox outbreak in Africa, a decision that sent ripples through the healthcare market. This move, prompted by the recent surge of mpox, formerly known as monkeypox, in several African countries, has driven increased attention towards companies involved in the development and production of treatments and vaccines for the virus.
Several stocks experienced significant price fluctuations in the wake of the WHO’s announcement. Emergent Biosolutions Inc (EBS) and Bavarian Nordic (BVNRY) saw their shares rise on Wednesday. Both companies are involved in the production of vaccines against mpox, with Emergent Biosolutions owning one of the two vaccines recommended by the Centers for Disease Control and Prevention (CDC), ACAM2000. Bavarian Nordic’s JYNNEOS is the other CDC-recommended vaccine for mpox.
GeoVax Labs Inc (GOVX) and SIGA Technologies Inc (SIGA) also experienced price movements, though in contrasting directions. GeoVax Labs, a clinical-stage biotechnology company specializing in immunotherapy and vaccine development for cancer and infectious diseases, saw its shares climb significantly over the past week, fueled by its previously published research suggesting its vaccines could help prevent mpox. However, SIGA Technologies, a commercial-stage pharmaceutical company focused on health security, saw its shares soar on Wednesday only to plummet the following day. This reversal was driven by the announcement from the National Institute of Allergy and Infectious Diseases that preliminary results from a trial testing SIGA’s antiviral drug, TPOXX (tecovirimat), for mpox did not meet its primary endpoint. Despite not achieving statistical significance, SIGA maintains that the trial’s results suggest TPOXX could provide clinical benefit, particularly for patients receiving early treatment or those with severe cases. Further studies are underway, aiming to gain a deeper understanding of TPOXX’s potential for mpox treatment.
The WHO’s declaration of a public health emergency has sparked a renewed focus on mpox, highlighting the need for effective treatments and vaccines. While the market response to this news has been mixed, it underscores the urgency for continued research and development efforts to combat this emerging health threat.
