- Bavarian Nordic Receives USD 156.8 Million from the U.S. Government for Additional Smallpox/Mpox Vaccine Production
Bavarian Nordic A/S has received a new order valued at USD 156.8 million from the Biomedical Advanced Research and Development Authority (BARDA), part of the Administration for Strategic Preparedness and Response within the U.S. Department of Health and Human Services, to manufacture additional bulk product for JYNNEOS®, the company’s smallpox/mpox vaccine. The bulk product, representing USD 139.7 million of the contract value, will be manufactured and invoiced in 2024 and will partly replenish the inventory used to manufacture vaccines in response to the mpox outbreak in 2022. Replenishment of the bulk inventory is necessary to fulfill the company’s existing contract to supply a next-generation, freeze-dried version of the vaccine for U.S. smallpox preparedness.
The contract also includes approximately USD 17 million for additional services in the period 2025-2027, including storage of vaccine doses in the U.S. Bavarian Nordic’s smallpox/mpox vaccine represents a key component in the U.S. biological preparedness, as demonstrated during the 2022 mpox outbreak. JYNNEOS was the first smallpox vaccine successfully developed under Project BioShield, a program created by the U.S. Congress in 2004 to accelerate the research, development, procurement, and availability of medical countermeasures against biological, chemical, radiological, and nuclear (CBRN) agents through public-private partnerships.
While the contract will not impact the company’s overall financial guidance for 2024, the order will increase the value of secured contracts in the Public Preparedness business this year from approximately DKK 1,600 million to approximately DKK 2,500 million. A total of DKK 2,700–3,000 million is expected from this business in 2024, with the residual primarily driven by a few additional government contracts anticipated later this year.
Bavarian Nordic has worked with the U.S. government since 2003 on the development, manufacturing, and supply of a non-replicating smallpox vaccine to ensure all populations can be protected from smallpox, including people with weakened immune systems who are at high risk of adverse reactions to traditional smallpox vaccines. The vaccine is approved by the FDA, EC, Health Canada, MHRA, and Swissmedic and has also obtained emergency use authorization in other territories for use during the mpox outbreak.
The vaccine was originally developed in collaboration with the U.S. government to ensure supply of a smallpox vaccine for the entire population, including immunocompromised individuals who are not recommended vaccination with traditional replicating smallpox vaccines. About Bavarian Nordic Bavarian Nordic is a fully integrated vaccine company with a mission to protect and save lives through innovative vaccines. We are a global leader in smallpox and mpox vaccines, supplied to governments to enhance public health preparedness and have a strong portfolio of vaccines for travelers and endemic diseases.