Kodak Pharmaceuticals' share price rose 12 times as much as it changed or affected tens of thousands of Chinese drugmakers.

Kodak, the once-brilliant film giant, has a long-term market value of about $100 million, and this week received a $765 million loan from the Trump administration to transform the pharmaceutical industry, rising to $1.3 billion in four days.
a family to do film, why get so much support to cross the border? The associated changes could have an impact on the revenues of tens of thousands of Chinese API companies.
"Friends, climb the mountain together?" "If someone had made such an offer 20 years ago, it would have been Kodak film on his camera.
1990s, Kodak accounted for two-thirds of the world's film market, peaking at $31 billion in 1997.
However, the rise and fall of digital cameras has left Kodak's advantages in the balance, and in the early 2000s Kodak was heavily indebted, declaring bankruptcy and restructuring in 2012 to become a commercial printing and imaging-focused company.
market capitalisation of less than $100m four days ago (before July 27).
However, just four days later, the landing Phoenix erupted, announcing a $765 million loan from the U.S. government to transition to generic drug manufacturing, a nearly 12-fold increase in its share price to $1.3 billion.
is this a capital market fuss, or is Kodak really hoping to make another success in the pharmaceutical industry? Kodak is going to climb mountains, even fly, waiting to continue climbing, or falling high? And how will changes in the U.S. affect Chinese companies thousands of miles away? The Trump administration was a key factor in pushing Kodak into hospitals.
source: CCTV News screenshot.
the new crown outbreak caused a shortage of U.S. RAW drugs in Kodak," prompting Kodak's determination to move into medicine was a key factor in the Trump administration.
restructuring, Kodak's financial position has been poor, with a market capitalisation hovering around $100m for a long time.
because of the new crown outbreak, Kodak has found a chance to re-create the raw materials.
, a pharmaceutical investor, told Eight News that while many of the innovative drug companies have been European and American, their API has relied on China and India for the past decade or so.
, about 88 percent of all drugs in circulation in the U.S. will come from outside the U.S., according to data.
" 10 percent from China and 20 percent from India.
U.S. government has been looking for ways to encourage U.S. companies to transition to generics and API.
is to solve local employment on the one hand, and to avoid dependence on imports on the other.
the trigger for the U.S. government's decision-making is the new crown outbreak.
investors mentioned that manufacturers of API in China and India have almost stopped production because of the new crown outbreak, which has led to a shortage of drugs in the United States.
Supply, when patients with new crowns are hospitalized, they need drugs to stabilize blood pressure, they need to fix the respiratory system, these are some common drugs, but because of the shortage of RAW drugs, they become scarce products, in short supply.'
U.S. President Donald Trump sees it, too.
as early as April, when Mr. Trump announced plans to activate the Defense Production Act to require companies to increase production of new coronary nasopharyngeal swabs, he stressed, "I like the U.S. to make its own products, especially in the pharmaceutical sector."
" May, the bill entered into force.
government loans, corporate pharmaceuticals, as long as with the new crown virus can be built.
loans come from a bank-like government agency, the American International Development Finance Corporation, and the terms of the loans are similar to commercial loans and are repaid within 25 years.
On Tuesday (July 28), the Trump administration announced a $765 million loan to Kodak under the U.S. Defense Production Act, dedicated to the production of generic drug raw materials, aimed at re-establishing the U.S. domestic drug supply chain and responding to the new coronary pneumonia outbreak.
Trump called it "one of the most important deals in the history of the U.S. pharmaceutical industry" and called Kodak "a great American company that you remember."
What we've learned from the outbreak is that Americans' dependence on foreign-made critical drugs has reached extremely dangerous levels," said Peter Navarro, a White House trade adviser.
" and once Kodak starts, one-four-part of the active ingredients needed to fight new crown drugs in the U.S. can be produced in Kodak Pharmaceuticals.
the loan, which is more than eight times Kodak's market value before the current rally.
, the move has also been questioned by the media, why put the loan to Kodak, rather than other companies with better financial positions? Jim Continenza, Kodak's chief executive, is confident that "Kodak's existing equipment will enable new businesses to start quickly, with pharmaceutical raw material production accounting for 30 to 40 per cent of Kodak's business."
", Kodak's share price went into a boom mode, triggering a trading suspension as many as 20 times in a row on Wednesday because of a surge.
fell yesterday, Kodak's market capitalisation had reached $1.3bn as of yesterday's close(early this morning Beijing time).
market value was just $92 million on Friday.
four days, it's up 12 times.
interestingly, the news was released on Tuesday, but the share price rose 25 per cent on Monday.
it look like there's insider trading in the U.S., too? A film company, go to the pharmaceutical industry? "Kodak wants to transform into medicine, it's definitely not a matter of two days a day."
The investors told Eight News that their rival Fujifilm entered the chemical industry more than 20 years ago to start making drugs, and that Fujifilm is a relatively large pharmaceutical company in Japan, a very successful transformation.
Kodak's existing business is inextricable from chemicals.
film production and production, is a complex fine chemical process, and pharmaceutical has a common underlying technology.
, for example, the imaging film behind the film, chemical synthesis and other key processes can be used in pharmaceutical.
Kodak CEO Jim Continezza also highlighted the company's strengths in chemistry in public: "What we do is film, we've always been a chemical company with a long history of chemistry and advanced materials, well over 100 years."
share price has risen more than a dozen times, "indicating that the market is still relatively bullish."
industry insider believes that nearly $800 million is enough for Kodak to do the business well.
" to make innovative drugs, Kodak certainly can not be compared with others, but simple chemical synthesis, large-scale production of chemical raw materials, his former facilities or something can be fully used.
in terms of production capacity, in the short term can still form an advantage."
but can you take advantage of this opportunity to really transform, make generics, or even innovate drugs? According to the above-mentioned people, it is not easy to say.
, it's not easy for generic pharmaceutical companies to do most of this, let between innovative drug companies, not to mention hundreds of millions of dollars in government loans.
" is no shortage of questions about Kodak.
July 29th, Forbes published an article arguing that Kodak had a long history of mismanagement.
not the first time Kodak has tried to transform the pharmaceutical industry, but previous attempts have not been successful.
1990s, Kodak was involved in the production of over-the-counter drugs such as aspirin, which it later sold for $2,925 million to the then healthcare giant, Shkodran.
the company later merged with GlaxoSmithKly to become today's pharmaceutical giant, GlaxoSmithKill, which had revenues of 9,090 million pounds in the first quarter of fiscal 2020.
2007, Kodak Healthcare, which specializes in medical imaging, was also sold for more than $2.55 billion.
film business was disrupted, Kodak many times transformation, and even into the military blockchain, but not satisfactory.
's rival Fuji was also hit when the film industry was in the dodgy, but it turned around earlier.
in 2009 after the acquisition of Japan's "Ben Toyama" chemical pharmaceutical, has completed more than 10 acquisitions and mergers, into pharmaceutical raw materials, antibody drugs, low-molecular drugs, biopharmaceutical research and development, and successful transformation.
also benefited from the National Defense Production Act.
July 27, Mr. Trump visited Diosynth Biotechnologies, a U.S. subsidiary of Fujifilm in North Carolina, and announced about $265 million to support the company in producing the new crown vaccine.
to keep today, stringing together every moment, is Kodak's classic advertising.
source: Screenshot of the ad video.
tens of thousands of CHINESE API companies or affected Kodak is just one starting point for re-repairing the U.S. domestic drug supply chain.
, a White House trade adviser, said he was increasingly concerned about U.S. dependence on foreign countries for key materials produced by the drug, and that the U.S. was considering funding about 30 companies to fight the new corona virus.
this could affect Chinese pharmaceutical companies.
China's API exports in 2019 will be 2011.85 million tons, with a value of US$33.7 billion, according to the 2019 China API Exports And Exports Chamber of Commerce.
import and export of raw materials in China, Source: Minsheng Securities Research Report.
, exports to the U.S. were $4.215 billion, down 1.23 percent from a year earlier.
number is likely to continue to decline as the new crown outbreak and the U.S. rebuild its local supply chain.
addition to the United States, Europe also experienced drug shortages during the outbreak, as well as attempts to change the state of over-reliance on API in Asia.
2019, China's exports of API to Europe will be US$9.461 billion, up 14.1% year-on-year.
2019, a total of 12,462 enterprises in China will operate RAW drug export business, an increase of 1,056 over the same period last year, almost all of them private enterprises.
their incomes are likely to be more and more affected as the U.S. and Europe reduce their dependence on API in Asia.
a South American butterfly flapping its wings in the tropics, causing a tornado in Texas, USA.
, Kodak's transformation, and a series of changes associated with it, could affect Chinese pharmaceutical companies tens of thousands of kilometers away.
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