Shares of Inovio (INO) are on the rise after the company was selected by CEPI to develop a vaccine against the new coronavirus that has killed 17 people and infected more than 570 people as Chinese authorities expand the travel restrictions imposed on Wuhan to include at least five cities. Meanwhile, Las Vegas Sands (LVS), Wynn Resorts (WYNN) and Melco Resorts (MLCO) are seeing their shares slip further after Macau's Chief Executive was reported as saying that he cannot rule out requesting casino closures following a second case of Wuhan-linked pneumonia in the territory.
NEW CORONAVIRUS: 17 people have died and more than 570 have been infected in China as a result of an outbreak of a new respiratory virus in the country that has also reached four other countries and territories. According to several media reports, Chinese authorities have expanded their strict travel bans to include at least five cities, after first imposing the travel ban on Wuhan, where the virus appears to have originated. Wuhan, a port city of over 11 million people, was closed off this week, with authorities cancelling flights and trains leaving the city, and suspending buses, subways and ferries within it.
Several countries have also adopted screening measures for travelers from China as nations worry about a global outbreak similar to SARS, another coronavirus that spread from China to over a dozen countries back in 2002-2003. The coronavirus family includes those that cause the common cold. However, some found in animals like bats or camels have evolved into severe illnesses such as SARS, or severe acute respiratory syndrome, and MERS, Middle East respiratory syndrome.
CASINO CLOSURES POSSIBLE: Macau's Chief Executive, Ho Iat Seng, said in response to reporters' questions that he cannot rule out the possibility of the government requesting a closure of the city's casinos as part of a multi-stage plan to respond to China's coronavirus outbreak, according to GGRAsia. On Thursday, Macau confirmed a second case of Wuhan-linked pneumonia and cancelled its Chinese New Year festivities, the report noted.
VACCINE AGAINST NEW CORONAVIRUS: Inovio has been awarded a grant of up to $9M by the Coalition for Epidemic Preparedness Innovations, or CEPI, to develop a vaccine against the recently emerged strain of coronavirus that has killed numerous people and infected hundreds more in China to date. This initial CEPI funding will support Inovio's preclinical and clinical development through Phase 1 human testing of INO-4800, its new coronavirus vaccine matched to the outbreak strain. CEPI previously awarded Inovio a grant of up to $56M for the development of vaccines against Lassa fever and Middle East Respiratory Syndrome, also caused by a coronavirus.
In a recently published paper in Lancet Infectious Diseases, Inovio's Phase 1 study of its MERS-CoV vaccine demonstrated it was well tolerated and furthermore induced high levels of antibody responses in roughly 95% of subjects, while also generating broad-based T cell responses in nearly 90% of study participants. Inovio's collaborators in this coronavirus vaccine development include the Wistar Institute, VGXI, a fully owned subsidiary of GeneOne Life Science, and Twist Bioscience (TWST).
TEST FOR NEW CORONAVIRUS: Meanwhile, Co-Diagnostics (CODX) has completed principle design work for a PCR screening test for new coronavirus, 2019-nCoV, intended to address potential need for detection of the virus. The new test features the company's patented CoPrimer technology, and was designed using its proprietary software system, following the guidelines published by the World Health Organization and Centers for Disease Control.
WHAT'S NOTABLE: Cerus (CERS) has also announced the publication of a study in Transfusion Medicine on the inactivation of the Middle Eastern Respiratory Syndrome, or MERS, coronavirus in human platelet concentrates using the Intercept Blood System for platelets. This study follows prior publications on the inactivation of the MERS coronavirus in human plasma and the inactivation of the Severe Acute Respiratory Syndrome, or SARS, coronavirus in human platelets. A new coronavirus outbreak is currently ongoing in China, with the first imported U.S. case confirmed on Tuesday. The genetic sequence of the new coronavirus, 2019-nCoV, is at least 70% similar to SARS-CoV4.
The Intercept Blood System is effective in reducing the risk of transfusion-transmitted infections across a broad spectrum of known and potentially emerging pathogens by cross-linking the pathogens' nucleic acids, and thereby blocking the replication of viruses, bacteria, and parasites present in the blood product. In contrast, with testing, emerging pathogens need to be identified and could take time for new tests to be developed and licensed.
PRICE ACTION: In morning trading, shares of Inovio have gained over 4% to $9.18. On the flip side, Macau-exposed Las Vegas Sand, Wynn Resorts and Melco Resorts are all fractionally lower, continuing their recent downtrend amid the Wuhan virus news.
Inovio
+0.23 (+6.69%)
Las Vegas Sands
-0.23 (-0.33%)
Wynn Resorts
-0.59 (-0.42%)
Melco Resorts
-0.52 (-2.33%)
Twist Bioscience
-0.31 (-1.35%)
Co-Diagnostics
+0.97 (+86.61%)
Cerus
+0.09 (+2.09%)