US govt to pay J&J $1 billion for 100 million doses of COVID-19 vaccine

Johnson & Johnson will develop and deliver 100 million doses of its experimental coronavirus vaccine for the US in a deal that totals over $1 billion.

The United States government will pay Johnson and Johnson over $1 billion for 100 million portions of its potential coronavirus vaccine, as it loads up on antibody and medications trying to tame the pandemic.

The most recent agreement is estimated at generally $10 per immunization portion created by J&J, or $20 per portion, including a second $1 billion from the U.S. government vowed to J&J in March. That would be generally in accordance with the $19.50 per portion that the U.S. is paying for the antibody being created by Pfizer Inc and German biotech BioNTech SE.

J&J is contemplating both one and two-portion regimens of its antibody. Pfizer and BioNTech‘s competitor would require two dosages for each individual treated. The drugmaker said on Wednesday it would convey the vaccine to the Biomedical Advanced Research and Development Authority (BARDA) on a not-revenue driven premise to be utilized after endorsement or crisis use approval by the U.S. Food and Drug Administration (FDA).

The U.S. government may likewise buy an extra 200 million dosages under a resulting understanding. J&J didn’t uncover that arrangement’s worth.

As the race for antibodies and medicines for COVID-19 increases, the U.S. government has been marking arrangements to get them through its Operation Warp Speed program. Different drugmakers who have marked arrangements incorporate Sanofi SA and Regeneron Inc.

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This is J&J‘s first arrangement to flexibly its investigational vaccine to a nation. Talks are in progress with the European Union, however, no arrangement has yet been reached.

J&J’s investigational Vaccine is right now being tried on solid volunteers in the United States and Belgium in the beginning phase study.

There are at present no endorsed antibodies for COVID-19. More than 20 are in clinical preliminaries.

Shares of J&J were up around 1 percent in early exchanging on the New York Stock Exchange.