Novavax is climbing in pre-market trading this morning after announcing that it has received a grant from the Bill & Melinda Gates Foundation. Today, we’ll talk about the grant Novavax received, what it means for the company, how the stock is reacting and what we can expect to see from the stock moving forward.
Novavax Receives $89 Million From The Bill & Melinda Gates Foundation
Novavax investors are incredibly happy with news that has surfaced with regard to a grant from the Bill & Melinda Gates Foundation. The grant awarded gives NVAX up to $89 million for the development of the RSV F Vaccine Phase 3 clinical trial in pregnant women, a clinical trial that is expected to be initiated in the first quarter of 2016. The grant will also help with regulatory licensing and provide a path to WHO prequalification. Novavax in turn has agreed to make the new vaccine affordable and accessible to people in developing regions upon licensing. Here’s what Stanley C. Erck, President and CEO of Novavax had to say…
“Along with today’s announcement of top-line data from the Phase 2 clinical trial of our RSV F Vaccine with the goal to protect infants via maternal immunization, we are very gratified to receive the support of the Bill & Melinda Gates Foundation to improve the health of infants throughout the world… Our groundbreaking Phase 2 results in both maternal and older adult target populations, underscore the promise of our RSV F Vaccine programs. We look forward to carrying our recent momentum into the fourth quarter as we prepare to initiate two pivotal Phase 3 trials of our RSV F Vaccine.”
How The Stock Is Reacting To The News
As mentioned above, NVAX is having a great morning this morning in pre-market trading. While the stock fell yesterday, it is definitely seeing gains as we wait for the market to open. Currently (8:39) NVAX has made it to $9.30 per share in the pre-market after a gain of 14.11%.
What We Can Expect To See Moving Forward
As mentioned by the CEO of NVAX in the quote above, the company has released exceptional results with regard to Phase 2. Moving into phase 3, Novavax has the full support of the Bill & Melinda Gates Foundation; which is great news. While the stock has seen a large outflow of money recently, I think that the trends are likely to change moving forward. In my opinion, we can expect to see overwhelmingly bullish momentum on the stock as we move into Phase 3 and beyond.
What Do You Think?
Where do you think NVAX is headed and why? Let us know your opinion in the comments below!
[Image Courtesy of Wikipedia]