Pfizer's Shares Tumble Despite EU Vaccine Triumph and Expansion in China

On April 1st, Pfizer (PFE) experienced a 3.16% drop, reaching its lowest intra-day price since November 2024. In more positive developments, the European Commission has granted approval for Pfizer's bivalent respiratory syncytial virus (RSV) vaccine, Abrysvo, extending its use to 18 to 59-year-olds to prevent lower respiratory tract disease (LRTD) caused by RSV.

This approval expands the vaccine's existing indications for individuals aged 60 and above, positioning Abrysvo as the most widely covered RSV vaccine in the European Union. The vaccine can now be administered for active immunization against RSV-induced LRTD in adults aged 18 and over, and to protect infants from birth up to six months through maternal immunization during pregnancy.

Abrysvo, an adjuvant-free bivalent vaccine, targets RSV subtypes RSV-A and RSV-B. The underlying mechanism involves F protein (preF) antigen sites, crucial for neutralizing antibodies, allowing it to address sequence variations within the subtypes. The European Medicines Agency's Committee for Medicinal Products for Human Use (CHMP) provided a supportive opinion, contributing to the approval across 27 EU member states, Iceland, Liechtenstein, and Norway, based on the Phase III MONeT study findings.

Alexandre de Germay, Pfizer's Chief International Business Officer, expressed delight over Abrysvo's EU approval, emphasizing its potential to substantially alleviate the disease burden of seasonal RSV outbreaks. RSV is a significant public health issue, responsible for around 158,000 adult hospitalizations annually in the EU. By expanding its indication to younger adults while retaining the use for pregnant women to protect infants, the vaccine marks a significant advancement in public health outcomes.

Concurrently, in the United States, the FDA initially approved Abrysvo for high-risk individuals aged 18-59 to prevent RSV-related LRTD in October 2024. Meanwhile, in both the U.S. and EU, GSK's RSV vaccine, Arexvy, has also expanded its coverage from initially 60 and over to high-risk adults aged 50-59.

Moreover, Pfizer marked a strategic milestone by launching its third R&D center in Beijing on March 29th. The center, established in the Yizhuang Economic and Technological Development Zone's International Biopharmaceutical Innovation Park, signifies a commitment to strengthen its research and development infrastructure in China. This move aligns with China's increasing demand for innovative pharmaceuticals, spurred by an aging demographic.

Pfizer's Beijing R&D Center will serve as a critical node, integrating local innovations into its global pipeline, which promises accelerated clinical development across early and pivotal Phase III trials. This initiative is part of Pfizer's broader China-All-In strategy, aiming to upgrade its capacity for concurrent global and local pharmaceutical developments.

The new center stands as a testament to Pfizer's dedication to fostering high-quality growth in China's pharmaceutical sector and reinforcing their role in the domestic market. This investment also reflects the strategic emphasis on utilizing regional resources to harness cutting-edge biotechnology advances, which echoes the overarching industrial aims of the Beijing Economic-Technological Development Area.