AstraZeneca could use a shot of under-promising 29 Mar 2021 The pharma group got caught in a spat between states over vaccine supplies, partly due to PR gaffes and overhasty pledges. A refresh of the board and chairman would be one way to overcome an episode that has hurt credibility and hampered rollout of a good product millions want.
Vaccine halo merits the effort for American pharma 29 Mar 2021 The success of Pfizer, J&J and Moderna in developing Covid-19 jabs and scaling up production has buffed their reputations. The immediate financial gain – about $4 bln of profit for Pfizer this year – may pale beside the benefit from having regulators and lawmakers on their side.
Europe’s UK vaccine threat has risky logic 23 Mar 2021 Brussels may block shipments of Covid-19 jabs to Britain amid a spat with AstraZeneca. Its ultimate threat would be to limit supplies of other remedies too, such as Pfizer’s. Even if the worst outcome is avoided, the result will be less efficient supply chains and costlier drugs.
Cox: Global vax race is lesson in risk appetites 18 Mar 2021 The widening gap between the jabbed and the jab-nots, with the U.S., UK and Israel light years ahead of Europe and Canada, isn’t just about healthcare systems. It’s about culture, too. Some societies are just better at embracing innovation and putting faith in technology.
Capital Calls: Airline IPO, Turkey’s central bank 18 Mar 2021 Concise views on global finance in the Covid-19 era: U.S. regional air carrier Sun Country Airlines’ IPO pop is justified by positive cash flow; Turkey shows how emerging-market policymakers face trickier choices than their rich-world peers.
Capital Calls: Elon Musk, AstraZeneca 15 Mar 2021 Concise views on global finance in the Covid-19 era: The electric-vehicle maker’s jocular new title of “Technoking of Tesla” tests the theory that deeds matter more than words; fears over the drugmaker’s vaccine risk further delaying the re-opening of Europe’s economy.
Biden’s vaccine pledge looks too modest 12 Mar 2021 The U.S. president wants to make shots available to all Americans by May 1 – but vaccine production rates and real-time data like air traveler numbers show things are moving quicker. Wall Street may also be underestimating how fast sectors from aviation to hotels will recover.
Capital Calls: OPEC+, Michaels 4 Mar 2021 Concise views on global finance in the Covid-19 era: Recovery concerns keep a lid on the oil cartel’s supply taps; Apollo tries its hand at craft retailer Michaels.
Oscar’s $8 bln IPO is triumph of hope over scale 3 Mar 2021 The tech-driven newbie has made a start on disrupting U.S. healthcare. But bigger groups can offer more choice in care, negotiate better prices, and keep more premiums to themselves. Customer growth alone doesn’t make Oscar's 2020 revenue worth more than 10 times rivals' sales.
Tax gains not enough for $12 bln drug-trial deal 24 Feb 2021 Icon is buying clinical-trials outsourcing rival PRA Health for a mix of cash and stock. The deal brings cost savings, expansion, and even tax savings on the combined business thanks to the acquirer's Irish abode. But at 5%, the return on investment still isn’t attractive.
Breakdown: Slaying virus Hydra is Herculean task 12 Feb 2021 Like the Greek serpentine monster, Covid-19 is mutating. Though vaccines are effective at defeating the original virus, their ability to protect against new variants is uncertain. Breakingviews explains why the world faces a prolonged fight to get back to normal.
Capital Calls: Third Point, Kraft Heinz/Hormel 11 Feb 2021 Concise views on global finance in the Covid-19 era: Dan Loeb’s hedge fund gets a good start in 2021, while Hormel Foods buys peanuts, but pays anything but.
EQT leaves hot markets behind with $15 bln pet LBO 10 Feb 2021 Instead of floating vet group IVC Evidensia, the buyout shop is selling it to its new fund, and Silver Lake. Stock valuations may be choppier when it finally lists, but the company’s rapid growth should help. Even in an IPO rush, private equity is hanging on to the best assets.
Capital Calls: KKR, the investment bank 9 Feb 2021 Concise views on global finance in the Covid-19 era: The private equity firm run by Henry Kravis is building a useful capital-markets business, with almost half its deals last year for outside clients.
Bubbly stocks risk painful vaccine puncture 29 Jan 2021 Drugmakers Pfizer and AstraZeneca are cutting deliveries of Covid-19 inoculations, the latest in a string of delays. Slower-than-expected rollouts and virus mutations may prolong lockdowns, hurting growth. Investors eyeing a rapid bounce-back this year could be disappointed.
AstraZeneca finds Covid-19 charity comes at a cost 28 Jan 2021 The pharma group’s shares have been hit amid a spat with the EU over its virus treatment, on which it isn’t making a profit. German scientists have now undermined the drug. Making vaccines in a crisis was never going to be easy. In future drugmakers may demand a higher price.
Sinopharm inhales invigorating Chinese herbs 28 Jan 2021 The pharma giant is planning to take Hong Kong-listed China Traditional Chinese Medicine private in a $3.3 bln deal. The market's growth, high margins and political support justify the premium. Relisting on the mainland at a richer valuation will be good for shareholders’ health.
Clean-shaven GE finally heaves into view 26 Jan 2021 Larry Culp is targeting the kind of cash flow the U.S. group was making two years ago, only with fewer workers and $30 bln less debt. Success depends on the still-grounded aviation division. But the chief executive’s revamped bonus plan means he’s well motivated to hit his goal.
EU strikes oafish first blow in new vaccine fight 26 Jan 2021 Brussels attacked drugmaker AstraZeneca for low deliveries of Covid-19 jabs and will impose checks on exports from the bloc. The move masks flaws in Europe’s inoculation rollout, and may do little to speed it up. It could trigger a new battle for access to coronavirus treatments.
Chinese vaping IPO leaves risk factors up in smoke 26 Jan 2021 Rlx shares surged in their debut, delivering a $46 bln valuation that tops Japan Tobacco’s. Revenue is growing fast, despite an earlier ban of domestic online sales. A wider backlash also singed Altria’s bet on Juul. Overlooking regulators can be hazardous to investors’ health.