Werner Lanthaler, CFO at Intercell, on how investors in Asia can differ from those in Europe.

“Intercell makes vaccines for infectious diseases that are a high threat in south-east Asia. Protecting against infections has become a strategic topic in the region, particularly in Singapore since the SARs crisis and the damage that did to the economy.

"Next year, our Japanese Encephalitis vaccine will be approved in the US and Europe. We hope to launch the product in Japan in 2009.

"So the dynamics of our industry are clearly heading towards south-east Asia and we already have one large Singaporean investor, Temasek Holding, which has about an eight or nine per cent holding. We do not have an immediate need to attract investors but we would like to broaden our shareholder base in the region. Anyone in urgent need of investors had better stay at home.

"Having a product that is relevant to the home country means that investors do not see Intercell as just an abstract biotech company. That helps to open a conversation but, in the end, every investor is driven by the potential upside of an investment. We also think that investments in European companies make a lot of sense from a currency perspective because most of their foreign investments are US dollar-based.

"The world of investing is global now. The world of valuations is global. Therefore you should not expect too big a difference in the investment approach of Asian investors because it would create an asymmetry. However, in Singapore and Japan you do not get the full mix of funds, from hedge to short to long-only, that you get in Europe and the US.

"Investment styles are typically long-only but it doesn’t make sense to look for a Singaporean investor who is going to go short on your company.

"In Singapore you feel the full openness of a global financial centre. That has been the paradigm for the past 40 years and it is growing. The mindset in Japan is a little different: it is a much closer economy. We asked Goldman Sachs to help us because without local expertise on the ground you cannot make it. They were extremely knowledgeable about the local market.

"Language problems are basically gone in Japan but it is extremely helpful to have a Japanese language presentation if you go to Tokyo. Having a conversation is perfectly okay but, particularly on technical subjects, there is no reason to build a language hurdle.”

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