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Reuters : WHO has alerted six African countries after Ebola outbreaks
Guinea declared a new Ebola outbreak on Sunday in the first resurgence of the disease there since the 2013-2016 outbreak, while the Democratic Republic of Congo reported a resurgence of the virus on Feb. 7.
“We have already alerted the six countries around, including of course Sierra Leone and Liberia, and they are moving very fast to prepare and be ready and to look for any potential infection,” the WHO’s Margaret Harris told a Geneva briefing. She did not specify the other countries.
Harris added that health authorities had identified close to 300 Ebola contacts in the Congo outbreak and around 109 in the Guinea one.
Gene sequencing of Ebola samples from both Congo and Guinea to learn more about origins of new outbreaks and identify the strains was under way, she said.
“We don’t know if this is down to Ebola persisting in the human population or if it’s simply moving again from the animal population but the genetic sequencing that’s ongoing will help with that information,” she said.
GENEVA (Reuters) - The World Health Organization has alerted six countries to watch out for potential Ebola cases after fresh outbreaks in Guinea and Democratic Republic of Congo, a spokeswoman said on Tuesday.
Guinea declared a new Ebola outbreak on Sunday in the first resurgence of the disease there since the 2013-2016 outbreak, while the Democratic Republic of Congo reported a resurgence of the virus on Feb. 7.
“We have already alerted the six countries around, including of course Sierra Leone and Liberia, and they are moving very fast to prepare and be ready and to look for any potential infection,” the WHO’s Margaret Harris told a Geneva briefing. She did not specify the other countries.
Harris added that health authorities had identified close to 300 Ebola contacts in the Congo outbreak and around 109 in the Guinea one.
Gene sequencing of Ebola samples from both Congo and Guinea to learn more about origins of new outbreaks and identify the strains was under way, she said.
“We don’t know if this is down to Ebola persisting in the human population or if it’s simply moving again from the animal population but the genetic sequencing that’s ongoing will help with that information,” she said.
Trump’s vaccine tsar launches European biotech roll-up
Moncef Slaoui promises to use lessons of Operation Warp Speed to take on Big Pharma
Moncef Slaoui, the former GlaxoSmithKline research boss who became the Trump administration’s vaccine tsar, is returning to the private sector at a new venture that is rolling up smaller biotech companies in an attempt to take on Big Pharma.
Slaoui, who was scientific head of the US government’s Operation Warp Speed until January, has been appointed chief scientific officer of Centessa, an umbrella company created from the merger of 10 biotechs backed by European venture capital firm Medicxi and unveiled on Tuesday.
The launch capitalises on the rush of investor interest in medical science since the pandemic, and aims to speed up the development of new drugs using lessons from Warp Speed and by giving scientific entrepreneurs a greater stake in their projects.
“There seemed to be a ceiling level of success, and time to achieving success,” Slaoui said of pre-pandemic drug development. “All of a sudden, we have a demonstration, frankly, that it can be dramatically faster, dramatically better. Now, it’s like you have one more inning in the game.”
Warp Speed helped fund several Covid-19 vaccines, which broke records with less than a year from start to approval. Slaoui, who remains a consultant to the operation, said it showed the benefits of research and development with a “laser sharp” focus on data, even in the middle of a “hurricane”.
Slaoui is also a partner at Medixci, which will roll its stakes in the merged companies into a shareholding in Centessa. The new umbrella company includes drug development programmes ranging from cancer to blood pressure. It has four products in clinical trials, including a drug for kidney disease in a phase 3 study and a cancer drug in phase 2/3.
Centessa chief executive Saurabh Saha, a former senior vice-president of research and development at Bristol-Myers Squibb, said it hopes to add more biotech companies.
“We hope to be a large pharmaceutical company one day. Our aspirations are very high, and we hope to add an 11th and 12th or 13th company,” he said.
Centessa has raised $250m in a series A fundraising round led by General Atlantic, Vida Ventures and Janus Henderson Investors, it said. T Rowe Price and Wellington Management Company have also put in money.
The company says it is trying to create a third way between large pharmaceutical companies — which spread risk but are often bureaucratic, moving slowly with high overheads — and biotechs, which tend to concentrate risk on a single product or platform.
Centessa is set up so scientists will have far greater potential rewards than at a large pharmaceutical company, holding shares in their unit and the overall umbrella company, and will leave if their project fails.
The model is an evolution of one introduced by Slaoui as head of R&D for GSK, where he broke down the department into “discovery performance units” that gave scientists more freedom and a greater incentive to perform.
“It really changes the odds towards higher success — or at least faster, clearer decision-making,” he said. “It was diluted in GSK. I tried to create what I called ‘life-changing prizes’ where there was £1m or £2m. Not what you can achieve with great success in biotech.”
>>> Up
* Allegro Raised to Buy at Goldman; PT 91 zloty
* Buzzi Unicem Raised to Equal-Weight at Barclays; PT 25 euros
* Carl Zeiss Meditec Raised to Hold at Commerzbank; PT 125 euros (+)
* Deutsche Boerse Raised to Outperform at Credit Suisse
* Euronav Raised to Buy at Cleaves Securities; PT 9.89 euros
* Fortum Raised to Buy at Commerzbank; PT 26 euros
* Hafnia Raised to Hold at Cleaves Securities; PT 17 kroner
* Hunter Group Raised to Buy at Cleaves Securities; PT 4.40 kroner
* Lanxess Raised to Buy at Baader Helvea; PT 75 euros
* Lanxess Raised to Buy at Baader Helvea; PT 75 euros
* Nordea Bank Raised to Overweight at JPMorgan; PT 95 kronor
* Okeanis Eco Tankers Raised to Buy at Cleaves Securities
* Petropavlovsk Raised to Add at Peel Hunt
* Rotork Raised to Buy at Jefferies; PT 420 pence
* Royal Mail Raised to Hold at Jefferies; PT 450 pence
* Safestore Raised to Buy at Panmure Gordon (+)
* Thyssenkrupp Raised to Add at AlphaValue
* Victrex PT Raised to 2,675 pence from 2,475 pence at Jefferies
* Vinci Raised to Buy at Grupo Santander; PT 98 euros
>>> Down
>>> Down
* Air France-KLM Cut to Underperform at Bernstein; PT 1 euro
* Heineken Cut to Underperform at Oddo BHF; PT 84 euros (+)
* Jyske Cut to Hold at ABG; PT 270 kroner
* Legrand Cut to Hold at SocGen; PT 82 euros
* Melia Hotels Cut to Underperform at Oddo BHF; PT 5 euros
* Melia Hotels Cut to Underperform at Oddo BHF; PT 5 euros
* Neste Cut to Sell at SocGen; PT 50 euros (+)
* Swedbank Cut to Hold at Deutsche Bank; PT 188 kronor
* Swedbank Cut to Neutral at JPMorgan; PT 180 kronor
* Vivendi SE Cut to Neutral at Citi
>>> Initiation
* Vivendi SE Cut to Neutral at Citi
>>> Initiation
* Alerion Cleanpower Rated New Buy at Banca Akros (ESN) (+)
* Delivery Hero Resumed Overweight at Morgan Stanley; PT 160 euros
* Delivery Hero Resumed Overweight at Morgan Stanley; PT 160 euros
* Eviso Rated New Buy at UBI Banca; PT 2.96 euros (+)
* RA Intl Rated New Buy at Canaccord; PT 80 pence (+)+
>>> Call
* Delivery Hero Overweight at Morgan Stanley, in Top Sector Picks
>>> Call
* Delivery Hero Overweight at Morgan Stanley, in Top Sector Picks
* Fortum Disposals Can Support Energy Shift, Dividend: Commerzbank (+)
* Kerry’s Volume Growth Recovery is Reassuring, Jefferies Says (+)
* Petropavlovsk Earnings Potential Overlooked, Peel Hunt Upgrades
* Playtech Building U.S. Momentum With Greenwood Pact: Jefferies (+)
* Rotork Sales Outlook Positive, Valuation Appeals, Jefferies Says
* Royal Mail Raised to Hold at Jefferies as Trends Will Normalize
* Veolia Has Significant Upside if Suez Deal Successful: Berenberg (+)
* Vivendi Fairly Valued After Spinoff Plan, Citi Says, Downgrading (+)
DAX:
- Beiersdorf (BEI TH) +1.1%
- Bayer (BAYN TH) +0.9%
- Delivery Hero (DHER TH) +0.6%
- Delivery Hero Overweight at Morgan Stanley, in Top Sector Picks
MDAX:
- Varta (VAR1 TH) +1.5%
- Thyssenkrupp (TKA TH) +1.3%
- Thyssenkrupp, Salzgitter Face Weather-Linked Disruptions: Platts
- Aixtron (AIXA TH) +1.1%
- Metro AG (B4B TH) +0.9%
- Siemens Healthineers (SHL TH) +0.8%
- Duerr (DUE TH) -0.6%
SDAX:
- Kloeckner (KCO TH) +3%
- SMA Solar (S92 TH) +2.3%
- 1&1 Drillisch (DRI TH) +1.8%
- Dermapharm (DMP TH) +1.7%
- Hensoldt AG (HAG TH) +1.7%
- ElringKlinger (ZIL2 TH) -0.7%
- TUI (TUI1 TH) +2.8%
- Rolls-Royce (RRU TH) +2.5%
- AMS (DQW1 TH) +2%
- Kering (PPX TH) +1.9%
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Glencore (8GC TH) +1.6%
- Glencore’s Glasenberg Signs Off With Dividends, Trading Bonanza
- Vodafone (VODI TH) +1.6%
- TeamViewer (TMV TH) +1.5%
- Nordea Bank (04Q TH) +1.4%
- Legal & General (LGI TH) +1.4%
- Varta (VAR1 TH) +1.3%
- BHP Group Plc (BIL TH) -0.9%
- BHP Lifts Outlook, Pays Record Dividend Amid Supercycle Talk
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Vivendi SE (VVU TH) -0.9%
- Vivendi SE Cut to Neutral at Citi
- Stock rallied 20% Monday
- Shell (R6C TH) -1.1%
- AstraZeneca (ZEG TH) -1.2%
- NEL (D7G TH) -1.4%
- Carnival Plc (POH1 TH) -1.5%
- Prosus (1TY TH) -2.2%
In Fashion’s Global Supply Chain, a Ruthless Race to the Bottom
A year into the coronavirus crisis, the garment industry and its millions of workers are suffering as they slash prices to stay competitive.
The pandemic has made uncertainty and disruption the new normal. Successive lockdowns are accelerating radical shifts in fashion’s business model and as the industry scrambles to recalibrate, the supply chains that sustain it are breaking down.
Suppliers typically operate on a lead time of 90 to 120 days, meaning orders placed by Western retailers in the more optimistic late summer and autumn period are about ready to be shipped. From March onwards, there will be hardly anything to produce, said Mostafiz Uddin, managing director of Denim Expert Limited, a denim supplier in Chittagong, Bangladesh. The darkening outlook as new variants of Covid-19 spread during November and December meant few clients placed orders ahead of Christmas. One month of retail closures can reverberate through the supply chain for six, and with lockdowns ongoing in major markets, there is little respite on the horizon.
“Every single day we sit in front of the TV, and we forget that we are in Bangladesh,” Uddin said. “We think, “OK, how many people died in the UK today, and when is the lockdown ending?’ ... Because our life depends not on the conditions [here], but on the conditions in the Western world.”
The Human Cost of a Race to the Bottom
The industry is already under intense strain. Many brands simply cancelled orders when first faced with lockdowns last year, refusing to even pay for goods that had already been shipped. The shock to the garment supply chain was swift and devastating.
By July, about 400 manufacturing firms representing 150,000 jobs had suspended operations in Cambodia, according to industry manufacturing associations and the European Chamber of Commerce in the country. In Bangladesh, the world’s second biggest garment exporter after China, 348 factories closed between March and April 2020, according to its manufacturers and exporters’ association. A recent survey of suppliers found that orders for the current season were down 30 percent compared to last year.
With orders only trickling in, manufacturers are also facing a pricing squeeze. More than half the suppliers in a survey of 75 across Asia, Africa and the Americas, conducted by Penn State University’s Center for Global Workers’ Rights and the Workers’ Rights Consortium, said they had accepted some orders below cost since the pandemic started.
“Essentially [brands are] asking the factory to make products for free,” said Ayesha Barenblat, founder and chief executive of ethical fashion campaign group Remake. “In many ways the humanitarian crisis for garment workers continues to deepen and widen.”
With businesses squeezed, labour costs are the first to be cut — and the wider social and economic consequences are far-reaching.
“The apparel sector is such an important sector for workers who are entering the formal economy for the first time,” said Tara Rangarajan, who sits on the management team of the International Labour Organisation’s Better Work programme. With the garment industry suddenly shrinking, there’s a risk of its predominantly female workforce entering less formalised, or more exploitative forms of employment, she said. “That’s why it’s so important that we don’t let the pandemic lead to worsening conditions but rather allow it to be a wake up call.”
A New Reality
The pandemic is not the only pressure point on fashion’s traditional supply chain. The rise of ultra-fast, online-only fashion companies is playing havoc with manufacturers’ business model, and the changing retail landscape is likely to feel long-lasting and far-reaching consequences.
Where traditional retailers would make large orders of each style, their more nimble, digital competitors have found success in a test-and-repeat model, ordering limited runs and swiftly doubling down on styles that sell. For factories, it’s a costly planning nightmare; the pivot to smaller, quicker inventory restocks could make sourcing from countries like Bangladesh and Pakistan — where lead times are longer and order minimums are relatively high — less attractive to buyers.
Manufacturers are caught shouldering much of the cost of uncertainty, with inventory volumes and associated labour requirements increasingly difficult to predict. “Those components of supply chain which have historically been much more formulated ... are now going to change, [with] speed being the name of the game,” said Yossi Nasser, chief executive of lingerie supplier Gelmart.
But as the industry consolidates, some are finding ways to pivot.
Manufacturing giant TAL Apparel, which makes clothes for brands including Lacoste and Patagonia, is known for making dress shirts and formalwear, but it was a 50-million-piece order for masks “that saved us” during the pandemic, said chief executive Roger Lee. Over the last year, the company accelerated plans to close its two costly manufacturing facilities in Malaysia and launched a consumer-facing mask brand.
Others see opportunity in adapting to the fast-paced needs of ascendant, digitally native brands. Sean Coxall, a former executive at supply chain solutions giant Li & Fung, launched his company, 707, in January to offer supply chain solutions to direct-to-consumer upstarts.
“We’re changing from supply chain to demand chain,” he said. “If you’re a factory, you need to forget the old way of asking for 100 days’ lead time... you know everything needs to be a lot more flexible and agile right now.”
Gelmart, known for its white-label products, has set up a venture arm for new or up-and-coming brands looking for funding and technical know-how. Unlike many suppliers left high and dry by a dramatically changing retail landscape, Nasser sees opportunity and leverage in the fast-paced demands of digitally native brands.
“The market’s driving them to focus more on growth, [so] they wouldn’t mind paying, let’s say 30, 40, 50 cents more per item to capture that sale, so they could generate more revenue growth,” he said. Nasser is betting even traditional retailers will focus on placing orders with a quicker turnaround amid the e-commerce boom.
But while the opportunities may be real, so is the cost of the ongoing shakeout. The ability for manufacturers to adapt is uneven, favouring vertically-integrated multinational suppliers or small players with savvy storytelling and a unique selling point.
Elsewhere, suppliers are getting squeezed and the changes are exacerbating longstanding socio-economic inequality and uneven power dynamics in the globalised fashion system.
“The current model... showed its true colours when the pandemic hit,” said Rangarajan. “[It] isn’t one that is sustainable and it isn’t one that we can rely on for the social and economic development of producing countries, or the workers themselves.”