Shares of NewLink Genetics (NLNK) rose in midday trading after the New York Times reported that an Ebola vaccine licensed to NewLink has been shown to provide 100% protection against the disease.

Ebola vaccine

Thursday, The New York Times reported that an experimental Ebola vaccine, known as rVSV-ZEBOV, was shown to provide 100% protection against the disease when tested on humans. The vaccine has yet to be approved by any regulatory authority, but it is viewed as so effective that an emergency stockpile of 300,000 doses has already been made for use in the event of another outbreak, the report said.

The publication noted that the trial for the vaccine was led by the World Health Organization, the Guinean Health Ministry, Norway's Institute of Public Health, and other institutions. The report also noted that the vaccine was developed over a decade ago by the Public Health Agency of Canada and the U.S. Army and is currently licensed to Merck (MRK).

On the other hand, the new vaccine has certain flaws, as it appears to work only against one of the two most common strains of Ebola, and it may not provide long-lasting protection, the report said, citing experts.

What's notable

In April of 2015, Merck and NewLink confirmed that the third, late-stage clinical trial of rVSV-ZEBOV-GP had been initiated in Sierra Leone. The vaccine candidate was licensed to NewLink Genetics in 2010, the companies said at the time. In addition, Merck and NewLink announced in November 2014 an exclusive licensing and collaboration pact for the vaccine.

Price action 

At midday, NewLink Genetics rose roughly 7% to $10.71, and Merck rose fractionally to $59.71.