Britain approves Valneva's easy-to-store Covid-19 shot

LONDON (REUTERS) - Britain approved on Thursday (April 14) Valneva's Covid-19 vaccine, making it the first European country to give a nod to the French firm's coronavirus vaccine shot that is easier to store and involves a process widely used in making flu and polio vaccines.

The shot is also the sixth Covid-19 vaccine to be approved in Britain, whose government had in September scrapped a €1.4 billion (S$2 billion) supply deal.

Euronext temporarily halted trading in Valneva's shares, that were indicated sharply up. At Wednesday's closing price of €15.255, they are down 37.7 per cent since the start of year after gaining 216 per cent in 2021 and 202 per cent in 2020.

"It is also the first, whole-virus inactivated Covid-19 vaccine to gain regulatory approval in the UK," the British health watchdog said in a statement, adding that the shot met required safety, quality and effectiveness standards.

In vaccines such as Valneva's VLA2001, the virus is grown in a lab and then made completely inactive so that it cannot infect cells or replicate in the body but can still trigger an immune response. It is seen by some as having the potential to win over people wary of some shots which use new mRNA technology.

Rx Securities managing director Samir Devani said even after the mass roll-out, Valneva's vaccine could still be useful if a new variant arises.

"The fact that it is available on hand is good news, although the exact revenue profile beyond the orders already received from the EU and Bahrain remains unclear," he said.

Mr Devani said the approval bodes well for the decision from the European Union's human medicines committee (CHMP), which is assessing the drug after the European Commission signed an advance deal for up to 60 million doses.

Valneva said in March that it expected a positive recommendation by the European Medicines Agency this month and that it had begun manufacturing and has inventory ready for labelling and deployment once it is is approved there.

Bahrain granted Valneva's vaccine emergency use authorisation in early March.

Earlier this year, analysts at Jefferies estimated four to 5.5 billion Covid-19 vaccine doses will be delivered globally this year, mostly outside the EU and United States, which have received the lion's share of supplies.

The temperature at which VLA2001 needs to be stored is similar to that of a domestic refrigerator, making it appropriate in countries where storage at very low temperatures is a challenge.