US Government Orders Additional Doses Of Pfizer's COVID-19 Treatment For $2B

The U.S. government announced a new purchase agreement for Pfizer Inc's PFE COVID-19 antiviral treatment Paxlovid.
This purchase supplements the 20 million treatment courses previously contracted by and already delivered to the U.S. Government.
The additional 3.7 million treatment courses are planned for delivery by early 2023.
Related: Pfizer Expects $10-$15B From mRNA Vaccine Sales By 2030, Sees $17B Revenues Lost Due To Patent Expiry.
The Biden administration previously agreed to pay around $10.6 billion - roughly $530 per treatment course - for the first 20 million courses ordered.
The government is paying around the same amount per course under the new contract, Reuters reported.
As of Nov. 30, Pfizer had shipped almost 37 million courses of Paxlovid to 52 countries. That includes all 20 million courses previously ordered by the U.S. government.
The two-drug oral treatment is free in the U.S., where more than 9 million courses have been delivered to pharmacies, and patients have used over 6 million courses, according to government data.
In June, Pfizer submitted an FDA marketing application New Drug Application seeking approval for Paxlovid for patients at high risk of progression to severe disease from COVID-19.
The target Prescription Drug User Fee Act (PDUFA) action date is in February 2023.
Price Action: PFE shares are down 0.02% at $53.06 during the premarket session on the last check Wednesday.

Overview Rating:

Speculative

0100