- The German drugmaker will transfer select intellectual property to the new entity while retaining a minority stake.
- The new entity will operate independently with its own financial structure, research agenda, and operational framework.
- BioNTech will continue concentrating on its expanding late-stage development portfolio.
BioNTech SE (BNTX) on Tuesday revealed plans to launch a separate biotechnology venture dedicated to advancing next-generation messenger RNA technologies, with the initiative to be led by its co-founders Ugur Sahin and Prof. Özlem Türeci, who are set to leave the company to head the new venture.
The new entity will operate independently with its own financial structure, research agenda, and operational framework while collaborating with BioNTech in specific areas of development.
Following the announcement, BioNTech stock tumbled nearly 17% in Tuesday’s premarket. On Stocktwits, retail sentiment around the stock remained in ‘extremely bullish’ territory amid ‘extremely high’ message volume levels.
Founders Exit To Lead New mRNA Venture
The Germany-based company intends to transfer certain intellectual property and technology assets tied to mRNA research to the new organization while retaining a minority ownership stake and potential milestone or royalty payments.
The forthcoming company will concentrate exclusively on developing emerging mRNA platform technologies with potential medical applications.
BioNTech Keeps Focus On Oncology Pipeline
While the new venture focuses on experimental mRNA innovation, BioNTech will continue concentrating on its expanding late-stage development portfolio. The company expects around 15 Phase 3 clinical trials in oncology to be underway by the end of 2026.
“We believe that this plan will be additive for both, BioNTech and the new company, as it aims to allow each organization to drive meaningful impact for patients”.
-Helmut Jeggle, Chairman, BioNTech Supervisory Board
Q4 Earnings Pressure
BioNTech reported a 23% year-on-year (YoY) decline in fourth-quarter earnings to €907.4 million ($1.05 billion). Loss per share also widened to €1.25 from a loss per share of €0.33 last year.
BNTX stock has declined by 3% in the last 12 months.
Conversion Rate: €1=$1.16
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