Why Is Vaccine Maker Emergent BioSolutions Stock Trading Higher On Tuesday? (UPDATED)

Author: Vandana Singh | July 03, 2024 06:11am

Editor’s Note: The story has been updated to replace the erroneous content published earlier.

Tuesday, Emergent BioSolutions Inc. (NYSE:EBS) received more than $250 million in contract modifications from the Administration for Strategic Preparedness and Response (ASPR) at the United States Department of Health and Human Services to deliver millions of doses of four medical countermeasures.
These contract modifications will help ensure continued supply/stockpiling of critical medical countermeasures to address biological threats and emergencies against anthrax, smallpox, and botulism.
The four awards include:

A contract modification valued at $30.0 million to supply Cyfendus (Anthrax Vaccine Adsorbed, Adjuvanted) this year.
Previously known as AV7909, Cyfendus is a two-dose anthrax vaccine for post-exposure prophylaxis use in individuals 18 and older. This new procurement funding is from Emergent’s existing 10-year contract with the Biomedical Advanced Research and Development Authority.
A contract modification valued at $99.9 million to supply ACAM2000 (Smallpox (Vaccinia) Vaccine, Live) this year. This is under Emergent’s existing 10-year contract with ASPR.
Two new contract options totaling $122.9 million have been awarded to supply the Strategic National Stockpile with VIGIV [Vaccinia Immune Globulin Intravenous (Human)] drug product and BAT [Botulism Antitoxin Heptavalent (A, B, C, D, E, F, G) – (Equine)] drug substance and delivery of drug production this year and into early 2025.
VIGIV is used for complications to smallpox vaccination, while BAT is indicated for symptomatic botulism following documented or suspected exposure to botulinum neurotoxin serotypes A, B, C, D, E, F, or G in adults and pediatric patients.
Both are under Emergent’s existing 10-year contracts with ASPR.

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