Regeneron Awarded $326M Government Contract For COVID-19 Antibody Therapy Development

Regeneron Pharmaceuticals Inc REGN was awarded a government contract valued at up to $326 million on Tuesday. Here are the details.

What To Know: The Biomedical Advanced Research and Development Authority (BARDA) awarded $1.4 billion for the development of new vaccines and therapeutics against COVID-19, including a contract with Regeneron to support clinical development, manufacturing and the regulatory licensure process.

The U.S. Department of Health and Human Services (HHS) will fund up to 70% of Regeneron's costs. The contract has an estimated value of up to approximately $326 million.

"Although COVID-19 has moved to an endemic stage, many people – including those with immunocompromising conditions – continue to face exposure that impacts their everyday life and could cause serious health consequences," said Leonard Schleifer, board co-chair, president and CEO of Regeneron.

"We believe Regeneron can once again apply our drug discovery and development expertise to help prevent disease in vulnerable populations."

The new program falls under Regeneron and BARDA's ongoing agreement from 2017 to develop a portfolio of antibodies targeting up to 10 pathogens that pose a significant public health risk.

See Also: Regeneron's Crucial Eylea HD Approval: A Shield Against Potential Biosimilar Competition?

REGN Price Action: Regeneron shares closed Tuesday down 0.44% at $840.63, according to Benzinga Pro. 

Photo: fernando zhiminaicela from Pixabay.