Source: AFP
French pharmaceutical giant Sanofi and embattled US rival Novavax on Friday announced an alliance to sell a Covid vaccine and develop another combined with a flu vaccine.
Under a licensing deal worth up to $1.2 billion, the companies will co-commercialize Novavax’s Covid-19 vaccine worldwide, except in certain countries such as India, Japan and South Korea, where the US company already has cooperation agreements.
Novavax will receive an upfront payment of $500 million and up to $700 million if it reaches certain milestones, while Sanofi will receive a five percent stake in the US company.
Sanofi to end sales of Novavax’s protein-based Covid-19 vaccine from 2025.
The French group will be able to develop a combination flu-Covid vaccine using its own flu vaccines with the US company’s Covid vaccine.
The announcement comes as pharmaceutical companies reported a drop in sales for Covid vaccines.
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Novavax, which is heavily dependent on the Covid vaccine, last year expressed doubts about its ability to continue in business.
The Maryland-based company was an early frontrunner in the global vaccine race, but has fallen behind after being hit by manufacturing and regulatory delays.
For Sanofi, the deal is an opportunity to develop a flu-Covid combination.
“With influenza and Covid-19 hospitalization rates now mirroring each other, we have an opportunity to develop non-mRNA influenza-Covid-19 combination vaccines that offer patients increased convenience and protection against two serious respiratory viruses” , said Jean-Francois. Toussaint, global head of vaccine research and development at Sanofi.
Source: AFP