H1N1 Vaccine Investments

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Whenever an established system is proven weak or inadequate for a new challenge, investors can find opportunities in innovative companies that step in to solve the problem or offer the needed service. As the world responds to H1N1 flu, the same patten is likely to recur. The recent outbreak of H1N1 swine flu, which began as a localized problem in Mexico and rapidly turned into a global pandemic, illustrates the inadequacy of existing vaccine manufacturing methods.New biological threats require a rapid response that traditional vaccine technology is too slow to provide. Companies that are able to respond quickly and effectively in providing influenza vaccines could be excellent investments.

Soon after the WHO officially pronounced H1N1 a pandemic, two companies announced that they had human clinical trials under way for vaccines. Sinovac Biotechnology (AMEX: SVA), a Chinese company, and the U.S. company, Baxter International (NYSE: BAX) are each racing to produce vaccines for distribution as soon as.

Novartis (NYSE: NVS), a Swiss company, is making its new swine flu vaccine without using chicken eggs. NVS is using a new animal cell bioreactor method that should be faster than eggs, and may have the advantage of also being able to produce a vaccine for bird flu, if that one turns out to be the threat many experts believe it might.

Even more rapid and low-cost technology is just around the corner. in cooperation with the Fraunhofer Institute, a European non-profit organization, a small U.S. company based in Delaware, iBioPharma, Inc. (OTCBB: IBPM), has developed a method of quickly producing all types of flu vaccines in green plants. This influenza vaccine technology has the potential to solve the speed problem once and for all, and also holds out promise for a lower cost approach to the manufacture of many other important vaccine and bio-therapeutic products. So, iBioPharma may be not only a good swine flu investment but also an investment for the long haul in pharmaceutical technology.

Investors are always confonted with both risks and opportunities. Sometimes unexpected events like pandemic disease outbreaks offer unexpected opportunities when dedicated scientists and doctors apply their skills and get to work. NVS, BAX, SVA, and IBPM could be very exciting investments, especially since the current pandemic is not likely to be the last one.

This article is for information purposes only. At the time of writing, the author did not hold any position in any of the companies mentioned in this article.

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