Last close As at 05/08/2026
CHF50.70
▲ 0.20 (0.40%)
Market capitalisation
CHF681m
Research: Healthcare
Basilea has announced the approval in China of the intravenous (IV) formulation of Cresemba, the company’s antifungal drug, for treating adult patients with invasive aspergillosis and invasive mucormycosis. The oral formulation of Cresemba is already approved in China where it is marketed by Basilea’s licence partner in the region, Pfizer. We see approval of the IV formulation as a positive development for Basilea; in 2021 China accounted for 19% of the global antifungal drug market, second only to the United States. However, we continue to see inclusion of Cresemba on the National Reimbursement Drug List (NRDL) in China as key to unlocking the full value of the Chinese market. We expect Basilea to benefit from the considerable experience of Pfizer in navigating the NRDL inclusion process for Cresemba. We continue to value Basilea Pharmaceutica at CHF847.7m or CHF71.6/share.
Written by
Basilea Pharmaceutica |
Cresemba IV formulation approved in China |
Drug approval update |
Pharma & biotech |
24 June 2022 |
Share price performance
Business description
Analysts
Basilea Pharmaceutica is a research client of Edison Investment Research Limited |
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Basilea has announced the approval in China of the intravenous (IV) formulation of Cresemba, the company’s antifungal drug, for treating adult patients with invasive aspergillosis and invasive mucormycosis. The oral formulation of Cresemba is already approved in China where it is marketed by Basilea’s licence partner in the region, Pfizer. We see approval of the IV formulation as a positive development for Basilea; in 2021 China accounted for 19% of the global antifungal drug market, second only to the United States. However, we continue to see inclusion of Cresemba on the National Reimbursement Drug List (NRDL) in China as key to unlocking the full value of the Chinese market. We expect Basilea to benefit from the considerable experience of Pfizer in navigating the NRDL inclusion process for Cresemba. We continue to value Basilea Pharmaceutica at CHF847.7m or CHF71.6/share.
Year end |
Revenue |
PBT* (CHFm) |
EPS* |
DPS |
DPS |
Yield |
12/20 |
127.6 |
(29.6) |
(288.5) |
0.0 |
N/A |
N/A |
12/21 |
148.1 |
(6.6) |
(56.9) |
0.0 |
N/A |
N/A |
12/22e |
109.5 |
(30.1) |
(254.1) |
0.0 |
N/A |
N/A |
12/23e |
128.1 |
14.0 |
161.1 |
0.0 |
N/A |
N/A |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
Cresemba (isavuconazole) is a broad-spectrum antifungal for treating severe, life-threatening fungal infections. The invasive fungal infection market remains an area of unmet medical need, driven by the rise of underlying predisposition conditions, such as chronic obstructive pulmonary disease, cystic fibrosis and AIDS. We note that Cresemba has reported fewer statistically significant drug-related adverse events and treatment-emergent adverse events versus market-leading antifungals (see Phase III SECURE study).
A drug’s inclusion on the Chinese NRDL is based on the assessment of multiple factors including clinical necessity (eg unmet need), clinical effectiveness, safety and pricing. Inclusion can have a significant positive impact on market penetration. As Cresemba has only recently been approved in China, the company has not reported region-specific sales data. We will adjust our geographic peak sales split accordingly as the first sales figures in China begin to crystallise. We note that Basilea recently received a milestone payment of US$1.25m from Pfizer related to sales in the Asia-Pacific region.
Our recent outlook details our valuation method and our rNPV model suggests a value for Basilea Pharmaceutica of CHF847.7m or CHF71.6/share.
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Research: Investment Companies
Templeton Emerging Markets Investment Trust (TEMIT) is a very large and well-established fund run by experienced managers, Chetan Sehgal (lead manager) and Andrew Ness. Despite a tough period of performance since Q221 due to macroeconomic developments, the managers are sticking to their long-term strategy of investing in companies with sustainable earnings power that are trading at a discount to their estimated intrinsic values. Sehgal and Ness remain positive on the prospects for emerging markets, which are home to a range of ‘best-in-breed’ companies including semiconductor manufacturers and low-cost commodity producers. The managers are further diversifying the portfolio in response to the new realities of rising interest rates, China’s zero-COVID policy, the war in Ukraine and climate change.