View printer-friendly version

Download PDF

U.S. Government Exercises Contract Options Valued at $18.9M for Emergent BioSolutions’ Vaccinia Immune Globulin Intravenous Program

ROCKVILLE, Md.–(BUSINESS WIRE)–Aug. 8, 2014– Emergent BioSolutions Inc. (NYSE:EBS) announced today that the Centers for Disease Control and Prevention (CDC) has exercised options under contract 200-2012-52242 for the supply of Vaccinia Immune Globulin Intravenous (VIGIV) into the U.S. Strategic National Stockpile (SNS). VIGIV is a therapeutic licensed by the U.S. Food and Drug Administration (FDA) for the treatment of complications due to smallpox vaccination. The contract options, valued at $18.9 million over three years, provide for work required to maintain FDA licensure of VIGIV and to collect plasma for future manufacturing.

“Emergent’s ongoing integration of the Cangene operations has ensured continuity in the fulfillment of our procurement and development contracts with the U.S. Government,” said Adam Havey, executive vice president and president biodefense division of Emergent BioSolutions. “With respect to VIGIV, which remains a critical component of the government’s biodefense program, we are pleased that CDC has exercised these contract options and look forward to implementing the required activities that we anticipate will enable future manufacturing of VIGIV.”

This contract modification increases the total contract value to $36.6 million. The scope of the contract, originally awarded to Cangene Corporation, which Emergent acquired in February 2014, was to maintain the ability to manufacture licensed VIGIV, with annual options to conduct additional services to support licensure maintenance activities for the product and to allow for additional manufacturing and plasma collections. VIGIV was first delivered into the SNS in 2002 and was subsequently licensed in the U.S. by FDA in 2005 and in Canada by Health Canada in 2007.

About Emergent BioSolutions

Emergent BioSolutions is a global specialty biopharmaceutical company seeking to protect and enhance life by offering specialized products to healthcare providers and governments to address medical needs and emerging health threats. Additional information about the company may be found at www.emergentbiosolutions.com. Follow us @emergentbiosolu.

Safe Harbor Statement

This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements, other than statements of historical fact, including statements containing the words “believes”, “expects”, “anticipates”, “intends”, “plans”, “estimates” and similar expressions, are forward-looking statements. These forward-looking statements are based on our current intentions, beliefs and expectations regarding future events. We cannot guarantee that any forward-looking statement will be accurate. Investors should realize that if underlying assumptions prove inaccurate or unknown risks or uncertainties materialize, actual results could differ materially from our expectations. Investors are, therefore, cautioned not to place undue reliance on any forward-looking statement. Any forward-looking statement speaks only as of the date of this press release, and, except as required by law, we do not undertake to update any forward-looking statement to reflect new information, events or circumstances.

There are a number of important factors that could cause the company’s actual results to differ materially from those indicated by such forward-looking statements, including availability of funding for our U.S. government grants and contracts and our manufacturing capabilities and strategy. The foregoing sets forth many, but not all, of the factors that could cause actual results to differ from our expectations in any forward-looking statement. Investors should consider this cautionary statement, as well as the risk factors identified in our periodic reports filed with the SEC, when evaluating our forward-looking statements.