Emergent Biosolutions soars more than 20% after the company said late Thursday it won a follow-on contract with CDC valued at up to $911 million to supply to the SNS approximately 29.4 million doses of BioThrax through September 2021.
In addition, it said the Biomedical Advanced Research and Development Authority (BARDA), a division within the Office of the Assistant Secretary of Preparedness and Response at HHS, intended to procure approximately $100 million of BioThrax for delivery into the SNS within 24 months from the date of contract award, which the company anticipates will be in the first half of 2017. This contract will be separate from and in addition to the follow-on procurement contract with CDC.
It said it plans to deliver approximately nine million doses of BioThrax in each of 2017 and 2018. In 2019, the company anticipates delivering approximately 10 million doses comprised of a combination of both BioThrax and NuThrax. BioThrax pricing in 2017 under the CDC follow-on contract is 2% higher than current levels and is subject to a 3% annual price escalation over the duration of the contract. Deliveries are scheduled to continue, subject to availability of funding, through September 2021.
By Fred Canto