[Click eStock] "This Year Synthetic Antigen Vaccines Are the Trend... Focus on Cha Vaccine Institute"

[Asia Economy Reporter Hyunseok Yoo] Hanyang Securities analyzed on the 14th that Chabioscience is considered a representative related stock of synthetic antigen. No investment opinion or target price was presented.

Chabioscience was established in 2000 by Moon Hong-mo, a former head of the Green Cross research institute. It was incorporated into the Cha Bio Group in 2011. It was listed on KOSDAQ in October 2021.

Researcher Oh Byung-yong of Hanyang Securities explains that people's resistance to mRNA and viral vector vaccines is increasing. He said, "This is probably because too many people experience various side effects during vaccination, and since it is a new technology that did not exist before, long-term stability is questionable. In Korea, as discussions continue from the third to the fourth vaccination, people's dissatisfaction is growing." He added, "Currently, there seems to be an enormous latent demand for new and safe vaccines."

He said, "Synthetic antigen vaccines have been used for a long time in existing vaccines such as shingles vaccine (Shingrix) and cervical cancer vaccine (Gardasil), and their long-term stability has been somewhat proven. Synthetic antigens generally take longer to develop compared to mRNA, but are known to have excellent safety."

He explained, "Many people looking for safe vaccines are likely to prefer synthetic antigen vaccines. Synthetic antigen vaccines have a high possibility of becoming one of the main options for COVID-19 prevention." He emphasized, "The Korean government has already pre-purchased 40 million doses of the Novavax vaccine, and if millions of people in Korea start receiving synthetic antigen vaccines this year, just as mRNA became a trend last year, synthetic antigen vaccines could become the trend this year."

Researcher Oh explained that Chabioscience is a representative related stock of synthetic antigen. He said, "They have independently developed and possess the ‘L-pampo’ technology, an adjuvant that must be added when manufacturing synthetic antigen vaccines. In comparative studies conducted by Cha Bio Research Institute, ‘L-pampo’ showed superior immunogenicity compared to other adjuvants."

He said, "In March last year, Cha Bio Research Institute licensed the ‘L-pampo’ technology to Aston Science, a cancer vaccine developer. Currently, there are about 20 vaccine developers negotiating technology transfer under material transfer agreements (MTA), which is the preliminary stage of technology transfer." He added, "If global interest in synthetic antigen vaccines increases, market interest in Chabioscience could also grow accordingly."

He pointed out, "Other related stocks of synthetic antigen include SK Bioscience and YuBioLogics, but Chabioscience’s market capitalization is only about 300 billion KRW, so it also has price merit. Just as mRNA-related stocks like iGene and Genexine surged last year, a similar story can be expected from Chabioscience."

This content was produced with the assistance of AI translation services.