The Strategist

Novavax receives $ 1.6B from US government to launch COVID-19 vaccine

07/08/2020 - 03:05

The US biotechnology company Novavax received a $ 1.6 billion grant from the US government to develop and commercialize the COVID-19 coronavirus vaccine.

The company is expected to produce about 100 million doses of the vaccine, for now called NVX-CoV2373, by January 2021.

To date, the company, founded in 1987, has successfully completed two of the three phases of clinical trials of its vaccine. In May, Novavax received a $ 384 million grant from the Bill and Melinda Gates Foundation for the first trials of its vaccine. 

Funds from the US government, which became the largest grant from the Donald Trump administration for the production of the vaccine from COVID-19, will go to complete the third phase of clinical trials, mass production and distribution of the vaccine.

Following the announcement of a government grant, Novavax shares on the NASDAQ auction rose 38%.