First batch of swine flu vaccine ships

In an outstanding example of "faster, better, cheaper" it was announced that the first batch (100,000 doses) of swine flu vaccine have shipped. The vaccine was developed by Protein Sciences Corporation using gene-based technology that avoids the use of eggs or live virus. It should be a much safer and faster way to develop vaccines. 

I was mesmerized reading their chain of press releases. Talk about moving quickly.

The Company's products have a wide range of uses in addition to vaccines, ranging from anti-cancer, gene therapy (Muscular Dystrophy, Alzheimer's), auto-immune disorders (arthritis), and Hepatitis C. This is a company with game-changing technology that can greatly benefit the world.

Protein Sciences is a very small 50 employee private company with cumulative revenue to date of just $75 million over 26 years, with $45 million in invested capital. It does not fit an American style VC model. I wish I could buy some stock.

But guess what? According to a Bloomberg article, one of its creditors filed a petition to force it into Chapter 7 bankruptcy. See more here. I don't have an update but it looks like the DHS contract will enable the company to dodge this bullet.

We need more companies like Protein Sciences that address fundamental needs with breakthrough technology. These types of developments always seem to come from small, focused companies that need to be creative. Getting there is a struggle with lots of risk and a lot of setbacks.

This is a good example of effective public-private partnerships. The company is working with the FDA, Homeland Security, the Department of Defense, and the Institute of Allergy and Infectious Diseases. It is very gratifying for me to see this process work and wealth creation in action.

Comments

[Glenn O'Flaherty]

For those interested there is another company that is working on various vaccines inlcuding smallpox, ebola, etc. It's called Siga Technologies. They have DOD funding and promising early results on some of their vaccines. It is a public company so go make some money.