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J&J to pay Emergent BioSolutions an initial $480m to make COVID-19 vaccine

By Sean Whooley | July 7, 2020

Johnson & JohnsonEmergent BioSolutions announced a five-year manufacturing agreement with Johnson & Johnson’s (NYSE:JNJ) Janssen Pharmaceuticals for the parent company’s SARS-CoV-2 vaccine candidate.

Gaithersburg, Md.-based Emergent is set to provide contract development and manufacturing services to produce Johnson & Johnson’s Ad26.COV2-S vaccine candidate at scale over five years, with the deal valued at approximately $480 million for the first two years, according to a news release.

Under the agreement, Emergent will begin manufacturing for the COVID-19 vaccine in 2021, upon successful completion of the activities under the previously executed technology transfer agreement between the companies. For the subsequent years beginning in 2023, Emergent will provide a flexible capacity deployment model to support additional drug substance batches annually.

Activities for the agreement will be performed at Emergent’s Baltimore Bayview facility, which was designated by the U.S. Dept. of Health and Human Services for rapid manufacturing of large quantities of vaccines and treatments during public health emergencies.

“We are proud to deploy our manufacturing strength to address the COVID-19 pandemic,” Emergent president & CEO Robert Kramer Sr. said in the release. “Advancing this collaboration is one of the ways we live our mission – to protect and enhance life.”

About The Author

Sean Whooley

Sean Whooley is an associate editor who mainly produces work for MassDevice, Medical Design & Outsourcing and Drug Delivery Business News. He received a bachelor's degree in multiplatform journalism from the University of Maryland, College Park. You can connect with him on LinkedIn or email him at swhooley@wtwhmedia.com.

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