Moderna Inc (NASDAQ:MRNA) received an order from the US Government to supply 100 million doses of its mRNA-1273 vaccine. The US Government can also buy an additional 400 million doses of vaccine from Moderna.
Moderna is also eligible to receive incentive payments on the vaccine’s timely delivery to cure people in the US of COVID-19.
Free vaccine to the people in the US
As part of the US Government’s commitment to providing free coronavirus vaccine to its entire people, all Americans can freely get the mRNA-1273 vaccine. However, they need to pay some fees to the healthcare professionals for administering the vaccine.
Preparing for Phase 3 clinical trial of mRNA-1273
CEO of Moderna, Stephane Bancel, said the company is grateful for the US Government’s trust in its vaccine and its continued support for the project. The company is preparing to conduct Phase 3 clinical study of the vaccine – mRNA-1273 in alliance with BARDA and NIAID.
Moderna is also expanding its production capacity of the mRNA-1273 vaccine with its strategic partners Rovi, Catalent, and Lonza to satisfy the growing demand for coronavirus vaccine worldwide and in the US. The company is anticipating similar large deals from other nations for its lead candidate – mRNA-1273.
Alex Azar, HHS Secretary, said the government is assembling a large swathe of vaccines to ensure the availability of at least one effective and safe vaccine by the end of this year to treat people with coronavirus. By investing this amount in Moderna, he said the government-supported development of an effective vaccine in alliance with NIH. It allows all the people in the US to enjoy a working vaccine to get rid of COVID-19.
Moderna engages in developing mRNA based vaccines for the past 9 years. It invested in its proprietary platform, allowing the company to quickly develop and produce mRNA-1273 candidates to treat people suffering from coronavirus.
Funding of $955 million grant from BARDA
BARDA supported Moderna in developing mRNA-1273 by providing a grant of $955 million. It will also reimburse 100% of the expenses of Moderna incurred in development. Under US DDC, Moderna will also receive funds of up to $1.525 million to supply mRNA-1273 as per the contract No W911QY-20-C-0100.