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Calgary company begins clinical trials for Canadian-made COVID vaccine candidate – CP24 Toronto's Breaking News

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The Canadian Press


Published Tuesday, January 26, 2021 5:47PM EST


Last Updated Tuesday, January 26, 2021 5:48PM EST

A prospective COVID-19 vaccine touted as a made-in-Canada response has begun human clinical trials in Toronto, and the company says it’s already preparing a followup that will target more infectious variants.

Providence Therapeutics of Calgary says if all goes well, it could start manufacturing millions of doses of its first prospective vaccine by the end of the year, guaranteeing a Canadian stockpile that wouldn’t be subject to global supply pressures or competition.

That’s if the formulation proves safe and effective, of course.

Among the challenges of developing a vaccine amid a raging pandemic is the uncertainty of how more infectious variants now emerging will complicate the COVID battle.

Even if successful, by the time Providence Therapeutics releases its vaccine hopeful, much of the country could be in the throes of a more infectious virus that does not respond to this formulation, said company CEO Brad Sorenson.

“We don’t believe that this is going to be resolved by a single vaccine,” said Sorenson, whose biotech also produces a personalized mRNA-based vaccine against cancer.

It’s a challenge now facing Pfizer-BioNTech and Moderna, which have each said its products appear to respond well to the variant initially identified in the United Kingdom, and to a lesser degree, the variant first detected in South Africa.

Moderna said earlier this week it plans to test two booster vaccines aimed at the variant associated with South Africa.

Sorenson said Providence is already internally testing a vaccine candidate that targets the variants, and he hoped to begin clinical trials by the end of the year.

“We believe that there’s going to be a need to be in a position of readiness to be able to respond as these variants are coming up, and to be able to make sure that we have that capacity.”

That doesn’t mean Providence is changing production runs just yet.

Sorenson said the immediate focus is to establish the safety and efficacy of its COVID-19 vaccine, dubbed PTX-COVID19-B and designed in the early days of the pandemic last March.

It uses messenger RNA technology and focuses on the spike protein located on the surface of a coronavirus that initiates infection, similar to the Pfizer-BioNTech and Moderna products.

The trial involves 60 healthy volunteers aged 18 to 25 who will be monitored for 13 months, with the first results expected in February.

The subjects are divided into four groups of 15, three of which will get three different doses. The fourth group gets a placebo.

Sorenson said immediate pandemic efforts should be focused on the novel coronavirus currently devastating many parts of the country.

“It’s a matter of capacity. Right now these variants are there, they’re concerning, and we’re keeping a close eye on it, but that’s not predominantly what the needs of the population are,” said Sorenson.

“Right now the needs of the population are still tied to the primary spike protein virus that’s out there and is ravaging around the world.”

Sorenson said his next vaccine candidate takes a broader approach by attempting to elicit a T-cell response, thereby creating a longer-term vaccine “and cover what we believe would be a lot more variants.”

“We have to prove it out, but we believe that if we are successful that it will allow for a much more durable immunity and a much broader immunity.”

The other goal is to prepare for large-scale manufacturing in Calgary, if all goes well with the trials and approval process.

Sorenson said doses for the Phase 1 trial are being made in Toronto, but the plan is to commercially manufacture the completed vaccine through a contract with the Calgary-based Northern RNA Inc.

That won’t be up and running by the end of the year, Sorenson allowed, so the short-term plan is to send raw materials made in Canada to a plant in the United States that would make the commercial product.

Eventually, the whole process would be completed in Canada, he said.

“We’re building the entire chain within Canada, so we’re not going to run into a problem where this particular input into the vaccine is unavailable,” he said.

Much of this also depends on financial support from the federal government, Sorenson added.

While the National Research Council of Canada has backed Phase 1 trials, Sorenson said he’s awaiting word on further support. He’d also like Ottawa to back Providence’s efforts to address the new COVID variants.

“They’ve already recognized the importance of mRNA technology. What they don’t realize is the power of mRNA technology to be responsive to these challenges that are coming up,” he said.

“Hopefully the politicians and the people that cut the cheques and write the policies that give direction to the bureaucrats will hear that and we’ll start seeing a more concerted approach that looks at a fuller picture.”

Pending regulatory approval, Sorenson said a larger, international Phase 2 trial may start in May with seniors, younger subjects and pregnant people, followed by an even broader Phase 3 trial.

The Providence project is just one of several Canadian efforts underway to develop a COVID-19 vaccine.

The biopharmaceutical company Medicago, based in Quebec City, began clinical trials on its plant-based candidate last July. If successful, the company has said manufacturing would take place in Durham, N.C., until it can complete a large-scale manufacturing facility set for Quebec City.

And last month, Health Canada gave the green light to the Vaccine and Infectious Disease Organization (VIDO) at the University of Saskatchewan to launch its Phase 1 clinical vaccine trial.

Infectious disease expert Jason Kindrachuk, who works with VIDO but is not involved with its vaccine candidate, said a varied vaccine strategy will be key to controlling the pandemic.

“Vaccines are not necessarily a one-size-fits-all and maybe with this pandemic, people are getting a greater appreciation for some of the logistical hurdles of trying to transport vaccines. Cold chain storage is not something most people knew about or thought about prior to COVID and everybody in the community now I think has heard about it,” said Kindrachuk, a visiting scientist from the University of Manitoba and Canada Research Chair.

“This is something that, in regards to vaccine development, we really have to put a lot of thought into as a research community because of the fact that we have to make vaccines that are accessible for the communities that are ultimately going to be treated with them.”

Ontario Health Minister Christine Elliott acknowledged Tuesday that appetite was strong for a homegrown answer but noted Providence was still a considerable ways from offering a viable option.

“First it has to go through the appropriate approval process, go through Health Canada to make sure that it’s going to be satisfactory and safe and efficacious,” said Elliott.

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Japan’s SoftBank returns to profit after gains at Vision Fund and other investments

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TOKYO (AP) — Japanese technology group SoftBank swung back to profitability in the July-September quarter, boosted by positive results in its Vision Fund investments.

Tokyo-based SoftBank Group Corp. reported Tuesday a fiscal second quarter profit of nearly 1.18 trillion yen ($7.7 billion), compared with a 931 billion yen loss in the year-earlier period.

Quarterly sales edged up about 6% to nearly 1.77 trillion yen ($11.5 billion).

SoftBank credited income from royalties and licensing related to its holdings in Arm, a computer chip-designing company, whose business spans smartphones, data centers, networking equipment, automotive, consumer electronic devices, and AI applications.

The results were also helped by the absence of losses related to SoftBank’s investment in office-space sharing venture WeWork, which hit the previous fiscal year.

WeWork, which filed for Chapter 11 bankruptcy protection in 2023, emerged from Chapter 11 in June.

SoftBank has benefitted in recent months from rising share prices in some investment, such as U.S.-based e-commerce company Coupang, Chinese mobility provider DiDi Global and Bytedance, the Chinese developer of TikTok.

SoftBank’s financial results tend to swing wildly, partly because of its sprawling investment portfolio that includes search engine Yahoo, Chinese retailer Alibaba, and artificial intelligence company Nvidia.

SoftBank makes investments in a variety of companies that it groups together in a series of Vision Funds.

The company’s founder, Masayoshi Son, is a pioneer in technology investment in Japan. SoftBank Group does not give earnings forecasts.

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Trump campaign promises unlikely to harm entrepreneurship: Shopify CFO

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Shopify Inc. executives brushed off concerns that incoming U.S. President Donald Trump will be a major detriment to many of the company’s merchants.

“There’s nothing in what we’ve heard from Trump, nor would there have been anything from (Democratic candidate) Kamala (Harris), which we think impacts the overall state of new business formation and entrepreneurship,” Shopify’s chief financial officer Jeff Hoffmeister told analysts on a call Tuesday.

“We still feel really good about all the merchants out there, all the entrepreneurs that want to start new businesses and that’s obviously not going to change with the administration.”

Hoffmeister’s comments come a week after Trump, a Republican businessman, trounced Harris in an election that will soon return him to the Oval Office.

On the campaign trail, he threatened to impose tariffs of 60 per cent on imports from China and roughly 10 per cent to 20 per cent on goods from all other countries.

If the president-elect makes good on the promise, many worry the cost of operating will soar for companies, including customers of Shopify, which sells e-commerce software to small businesses but also brands as big as Kylie Cosmetics and Victoria’s Secret.

These merchants may feel they have no choice but to pass on the increases to customers, perhaps sparking more inflation.

If Trump’s tariffs do come to fruition, Shopify’s president Harley Finkelstein pointed out China is “not a huge area” for Shopify.

However, “we can’t anticipate what every presidential administration is going to do,” he cautioned.

He likened the uncertainty facing the business community to the COVID-19 pandemic where Shopify had to help companies migrate online.

“Our job is no matter what comes the way of our merchants, we provide them with tools and service and support for them to navigate it really well,” he said.

Finkelstein was questioned about the forthcoming U.S. leadership change on a call meant to delve into Shopify’s latest earnings, which sent shares soaring 27 per cent to $158.63 shortly after Tuesday’s market open.

The Ottawa-based company, which keeps its books in U.S. dollars, reported US$828 million in net income for its third quarter, up from US$718 million in the same quarter last year, as its revenue rose 26 per cent.

Revenue for the period ended Sept. 30 totalled US$2.16 billion, up from US$1.71 billion a year earlier.

Subscription solutions revenue reached US$610 million, up from US$486 million in the same quarter last year.

Merchant solutions revenue amounted to US$1.55 billion, up from US$1.23 billion.

Shopify’s net income excluding the impact of equity investments totalled US$344 million for the quarter, up from US$173 million in the same quarter last year.

Daniel Chan, a TD Cowen analyst, said the results show Shopify has a leadership position in the e-commerce world and “a continued ability to gain market share.”

In its outlook for its fourth quarter of 2024, the company said it expects revenue to grow at a mid-to-high-twenties percentage rate on a year-over-year basis.

“Q4 guidance suggests Shopify will finish the year strong, with better-than-expected revenue growth and operating margin,” Chan pointed out in a note to investors.

This report by The Canadian Press was first published Nov. 12, 2024.

Companies in this story: (TSX:SHOP)

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RioCan cuts nearly 10 per cent staff in efficiency push as condo market slows

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TORONTO – RioCan Real Estate Investment Trust says it has cut almost 10 per cent of its staff as it deals with a slowdown in the condo market and overall pushes for greater efficiency.

The company says the cuts, which amount to around 60 employees based on its last annual filing, will mean about $9 million in restructuring charges and should translate to about $8 million in annualized cash savings.

The job cuts come as RioCan and others scale back condo development plans as the market softens, but chief executive Jonathan Gitlin says the reductions were from a companywide efficiency effort.

RioCan says it doesn’t plan to start any new construction of mixed-use properties this year and well into 2025 as it adjusts to the shifting market demand.

The company reported a net income of $96.9 million in the third quarter, up from a loss of $73.5 million last year, as it saw a $159 million boost from a favourable change in the fair value of investment properties.

RioCan reported what it says is a record-breaking 97.8 per cent occupancy rate in the quarter including retail committed occupancy of 98.6 per cent.

This report by The Canadian Press was first published Nov. 12, 2024.

Companies in this story: (TSX:REI.UN)

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