This is what we can expect due to the recent announcement that Pfizer and BioNTech, pharmaceutical companies, and now are waiting for it to be approved by doctors. Such news caused a quick increase in the share prices of many publicly listed live entertainment companies. In this case, forecasts are more than promising – researchers believe the vaccine to be 90% effective and what’s more important – absolutely safe for patients’ health.
It was almost a year spent in a race for numerous groups to develop and test a safe vaccine for coronavirus. The process takes its time as Pfizer and BioNTech need their vaccine to be approved, assigned, and distributed properly. Even though it still remains a “breakthrough moment” in our history and gives more hope than ever that we will come back to the old good times.
First of all, the discovery of the medicine would affect the stock markets that were hit hard by pandemic harsh reality. It also touched the live entertainment business, which has been under the threat of full shutdown since March. Last week, global live music company Live Nation confirmed that a decent part of their income was lost or slumped greatly.
The spike in share prices can be explained by the eagerness of the audience to return to live concerts and shows. We have a full-scale prospect of them to be resumed in 2021. However, Live Nation acknowledged d that there still will be many uncertainties regarding how long COVID-19 – and the accompanying lockdown, social distancing, and travel restriction measures – would continue to negatively impact show-business. The strict measures will be applying for several months after the final approval of the vaccine.
Within 30 minutes of the vaccine announcement Live Nation – and rival live music businesses like CTS Eventim and Madison Square Garden Entertainment – noticed their share prices go up by more than 20%. Initial spikes weren’t maintained – all three subsequently dropped a little – nevertheless it was the highest indicator during the whole quarantine, bringing the live music promotion back to life.