Close menu




September 6th, 2023 | 08:00 CEST

BioNTech, Cardiol Therapeutics, Bayer - Tiger mosquitoes, and rising Corona numbers bring biotech back in focus

  • Biotechnology
  • Cancer
  • Covid19
Photo credits: pixabay.com

Corona infections are already rising, even though autumn has not even begun. Hospitals are already fearing a high burden during the winter. Gerald Gaß, the Chairman of the Board of the German Hospital Federation, advised high-risk patients, their close contacts and healthcare workers to keep their flu and COVID-19 vaccinations up to date. Due to constant stress triggered by crises and workload-related pressures, the number of heart patients have also increased in recent years. At the end of August, entire neighborhoods and streets in Paris were closed off to spray insecticides against tiger mosquitoes, which spread diseases like dengue and Zika viruses, among others. This is reason enough for us to examine three companies fighting these threats.

time to read: 4 minutes | Author: Armin Schulz
ISIN: BIONTECH SE SPON. ADRS 1 | US09075V1026 , CARDIOL THERAPEUTICS | CA14161Y2006 , BAYER AG NA O.N. | DE000BAY0017

Table of contents:


    Sébastien Plouffe, CEO, Founder and Director, Defence Therapeutics Inc.
    "[...] Defence will continue to develop its Antibody Drug Conjugates "ADC" and its radiopharmaceuticals programs, which are currently two of the hottest products in demand in the pharma industries where significant consolidations and take-overs occurred. [...]" Sébastien Plouffe, CEO, Founder and Director, Defence Therapeutics Inc.

    Full interview

     

    BioNTech - Changes legal team

    Increased coverage of rising coronavirus infections is good for top dog BioNTech. On September 1, the Main-based company received approval from the European Commission for its COVID-19 vaccine adapted from Omicron XBB.1.5. The European Medicines Agency has recommended Corona vaccination for everyone 5 years and older. The new vaccine should be available in pharmacies and doctors' offices around mid-September. Criticism regarding the dispensing quantity of a minimum of 6 doses was voiced by, among others, the German General Practitioners' Association, which fears that quite a few doses will have to be thrown away again.

    Orders for personal use can be placed until September 12. This could bring new momentum to the share, which was under constant pressure until early August. This is also due to a large number of lawsuits concerning possible vaccine-related damages that the Company is facing. Shortly before the wave of lawsuits began, the Mainz-based company replaced the CMS legal team with White & Case. According to industry insiders, this is an unusual move. In the end, however, the German government provided comprehensive guarantees, so the vaccine manufacturers should be out of any liability.

    The share has made a decent rebound after the Corona reports of the last few days and is currently available for EUR 113.75. The low for the year at the beginning of August was EUR 86.72. Regardless of the current Corona "boom", the more crucial question is how the Company is progressing with its oncology trials. At the latest, there should be an update with the Q3 numbers, which will be presented on November 6.

    Cardiol Therapeutics - Recruitment progressing

    Heart disease is growing, and this trend will continue for some time. Cardiol Therapeutics is a clinical-stage biotech company dedicated to developing anti-inflammatory and antifibrotic therapies for heart disease. The Company is focused on underserved heart disease and has a promising oral drug candidate, CardiolRx™, which is in Phase II trials for the treatment of recurrent pericarditis (RP) and acute myocarditis (AM), demonstrating its anti-inflammatory and antifibrotic properties. Cardiol is also developing CRD-38, a subcutaneously administered drug for the treatment of heart failure.

    According to research from First Berlin Equity Research (FBER), management provided information at a US investor conference about patient enrollment in the trial of RP. A total of 8 hospitals are participating in patient recruitment. FBER analysts expect at least 50% of participants to be identified in the coming weeks. That would be a milestone for the Company because if the results are positive, it could approach the FDA for permission to start a Phase III trial. The AM trial has already attracted more than 35 clinics, and recruitment is ahead of schedule. The 50% threshold is expected to be reached in early 2024.

    This is good news for Cardiol, which has an extensive intellectual property portfolio. At the same time, they are debt-free and sufficiently capitalized until 2026. The management team has extensive experience in cardiovascular medicine and works with top researchers. For those who want to learn more, you should have a look at the report from FBER. As of August 8, the Company is also back in compliance with NASDAQ regulations, so the listing is no longer in jeopardy. The stock is currently trading at USD 1.00 and has thus made more than 100% since the low in April.

    Bayer - Upswing due to tiger mosquitoes?

    The tiger mosquito is considered aggressive. In Paris, entire apartment blocks and streets were sprayed with insecticides because health authorities feared the spread of dengue fever. The Kronen Zeitung asked whether Vienna would follow suit because the mosquito is now also native to that city. Bayer's Crop Science division knows a thing or two about insecticides. About 17% of the global pesticide market is supplied by Bayer. Only Syngenta is larger. The Monsanto acquisition is still a problem for Bayer, as some glyphosate lawsuits are still pending.

    In this area, the Group recently invested EUR 220 million in a research and development facility at its Monheim site. The Group has entered into a new collaboration with Pairwise to further develop short-stem corn. The Pharmaceuticals division is doing much better. There, a Phase I study with bemdaneprocel reached its primary clinical endpoint. The results of the therapy against Alzheimer's disease were consistently positive in terms of safety and tolerability, regardless of whether high or low doses were administered. A Phase II study is now planned to follow in the 1st half of 2024.

    Most recently, Bayer's outlook has been set to negative by rating agency Fitch, although the BBB+ rating remained. The main point of criticism is the high debt level of approximately EUR 39 billion, which is mainly due to the Monsanto acquisition. The high interest expenses could potentially reduce the funds available for research and development. Additional risks exist due to the legal disputes in the Crop Science division. The share is currently trading at EUR 50.78.


    The aging population is leading to increased diseases, particularly heart and cancer-related conditions. BioNTech has built a substantial financial cushion with its COVID-19 vaccine and can work on the oncology pipeline peacefully. Cardiol Therapeutics specializes in heart diseases, and once at least 50% of patients are recruited for the Phase II trials, it can accelerate the path to Phase III, likely resulting in a significant boost in the Company's value. Bayer's Crop Science division remains the problem child. Perhaps addressing the tiger mosquito issue could help to achieve the turnaround. A split is still on the cards.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may hold shares or other financial instruments of the aforementioned companies in the future or may bet on rising or falling prices and thus a conflict of interest may arise in the future. The Relevant Persons reserve the right to buy or sell shares or other financial instruments of the Company at any time (hereinafter each a "Transaction"). Transactions may, under certain circumstances, influence the respective price of the shares or other financial instruments of the Company.

    In addition, Apaton Finance GmbH is active in the context of the preparation and publication of the reporting in paid contractual relationships.

    For this reason, there is a concrete conflict of interest.

    The above information on existing conflicts of interest applies to all types and forms of publication used by Apaton Finance GmbH for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and the like on news.financial. These contents are exclusively for the information of the readers and do not represent any call to action or recommendations, neither explicitly nor implicitly they are to be understood as an assurance of possible price developments. The contents do not replace individual expert investment advice and do not constitute an offer to sell the discussed share(s) or other financial instruments, nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but a journalistic or advertising text. Readers or users who make investment decisions or carry out transactions on the basis of the information provided here do so entirely at their own risk. No contractual relationship is established between Apaton Finance GmbH and its readers or the users of its offers, as our information only refers to the company and not to the investment decision of the reader or user.

    The acquisition of financial instruments involves high risks, which can lead to the total loss of the invested capital. The information published by Apaton Finance GmbH and its authors is based on careful research. Nevertheless, no liability is assumed for financial losses or a content-related guarantee for the topicality, correctness, appropriateness and completeness of the content provided here. Please also note our Terms of use.


    Der Autor

    Armin Schulz

    Born in Mönchengladbach, he studied business administration in the Netherlands. In the course of his studies he came into contact with the stock exchange for the first time. He has more than 25 years of experience in stock market business.

    About the author



    Related comments:

    Commented by Carsten Mainitz on September 30th, 2025 | 07:40 CEST

    Antimony Resources, Rheinmetall, Novo Nordisk – Something is in the air!

    • Mining
    • antimony
    • Defense
    • Biotechnology

    Sufficient access to raw materials is crucial for any economy. The EU has compiled a list of 34 critical raw materials. How critical a raw material is classified depends on two parameters: "economic importance" and "supply risk." This list also includes a little-known but very important metalloid – antimony. The price of antimony skyrocketed at the end of 2024 in the wake of China's export ban. There are still exciting investment opportunities in this area.

    Read

    Commented by André Will-Laudien on September 30th, 2025 | 07:35 CEST

    High-tech super boom! 1,000% no problem—here is more from D-Wave, NetraMark and Palantir!

    • Biotechnology
    • AI
    • Digitization
    • hightech
    • computing
    • Software

    Artificial intelligence (AI) is currently revolutionizing drug development by analyzing enormous amounts of data in a very short time and making clinical trials much more targeted. Modern AI systems make it possible to select drug candidates with precision and predict the potential success of a therapy with a high degree of accuracy. Companies like NetraMark are already using these technologies profitably. Players such as D-Wave and Palantir are also among the pioneers of the new AI-driven economy and have seen their share prices rise by over 1,000%. Expectations for further growth are virtually limitless. The advent of quantum computer technology also marks the beginning of a new chapter in ultra-fast data processing. For forward-looking investors, this opens up attractive entry opportunities in dynamically expanding future markets. Those who bet on the right players early on can benefit from this change to an above-average extent.

    Read

    Commented by André Will-Laudien on September 29th, 2025 | 07:20 CEST

    Attention: Acquisitions! Biotechs like Evotec, PanGenomic Health, Pfizer, and BioNTech in focus

    • Biotechnology
    • Biotech
    • Healthcare
    • healthtech

    The biotech industry is in turmoil! With the expiration of blockbuster patents, there is a threat of sharp declines in revenue, which must be strategically compensated for. Driven by economic pressure and a growing focus on innovation and technology, the industry is increasingly turning to acquisitions of biotech companies with promising drug candidates, new technologies, and digital expertise. Not only are entire pipelines being acquired, but key players from the fastest-growing segments are also being targeted, particularly in the field of obesity therapies, where billions are being paid for drug candidates. Several examples illustrate this wave of transformation. Companies are restructuring, focusing their activities, and rapidly preparing for a phase of sustainable growth. The pace is picking up! Here are some promising investment ideas!

    Read