Lyme Disease And Climate Change Reinvigorates Valneva's Vaccine Efforts After COVID Shot Disappointment

Valneva SE VALN is trying to come back after a disappointing COVID-19 shot by betting on the Lyme disease vaccine.

Climate change is spurring more cases of tick-borne Lyme disease. 

FAIR Health's recently announced third study focused on Lyme disease's notable growth in the U.S. over the past 15 years.

From 2016 to 2021, claim lines with Lyme disease diagnoses increased 60% in rural areas and 19% in urban areas, with diagnoses peaking nationally in June and July annually. 

The report also claimed that Lyme disease diagnoses occurred more often in urban areas from November to April.

Although Valneva secured European Union and British regulatory approval, both walked away from contracts.

The French vaccine maker faces aggressive competition from major pharma companies for COVID-19 shots, such as Pfizer Inc PFE, Moderna Inc MRNA, and AstraZeneca Plc AZN. 

There are no established rivals for either Lyme disease or Chikungunya.

Valneva CEO Thomas Lingelbach said there had been a significant increase in the prevalence of disease-causing vectors. "Global warming is certainly a key - if not the driving force," he told Reuters in an interview.

The company is preparing to start a late-stage human trial for its experimental vaccine against Lyme disease. After a successful late-stage study, it will soon submit its vaccine against Chikungunya for U.S. approval.

The Lyme disease vaccine trial will start in the coming weeks, involving at least 5,000 participants aged five years and above.

Valenva expects that, if successful, the Lyme disease vaccine, known as VLA15, will generate annual global sales of $1 billion.

Price Action: VALN shares are up 3.11% at $20.38 during the market session on the last check Monday.