Valneva shares fall after it withdraws chikungunya vaccine applications in US

Shares in French vaccine maker Valneva VLS.PA fall 6.4%, paring losses after falling around 14%, after withdrawing biologics license (BLA) and investigational new drug (IND) applications in the U.S for chikungunya vaccine Ixchiq

Brokerage Van Lanschot Kempen says decision appears to be driven by continued license suspension and FDA's placing IND on clinical hold while investigating a newly reported adverse event in a younger adult

"We believe it is the right decision to stop investing resources," Kempen says, highlighting limited sales impact and minor valuation contribution from Ixchiq

Stifel echoes these comments, seeing the decision as rational given the limited visibility on potential resumption of commercialisation