By Jacob Gronholt-Pedersen
COPENHAGEN (Reuters) – Danish biotech Bavarian Nordic anticipates a boost in biodefense funding by the incoming U.S. administration despite concerns that the nomination of Robert F. Kennedy Jr. as health secretary could fuel vaccine scepticism, its CEO told Reuters on Friday.
President-elect Donald Trump said on Thursday he has selected Kennedy, an environmental activist who has spread misinformation on vaccines, to lead the United States’ top health agency.
“It doesn’t help when you’ve got a health secretary who’s skeptical of vaccines in convincing the public to take vaccines,” CEO Paul Chaplin told Reuters.
However, when it comes to biodefense, preparing for and responding to potential pandemics, Chaplin expects the Trump administration to raise funding, as happened during his first term.
“When I look back at his first administration, it was some of the most successful years in terms of the public preparedness business with the U.S. government,” Chaplin said. “I think the incoming administration is going to be very positive for that part of the business.”
Shares in Bavarian fell more than 16% after the company posted a lower-than-expected core profit for the third quarter while its 2025 orders also fell short of expectations. Analysts at Sydbank and Kempen told Reuters that the nomination of Kennedy also weighed on the stock.
(Reporting by Jacob Gronholt-Pedersen, editing by Stine Jacobsen and Angus MacSwan)
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