Trump administration to pump $2.1 billion for Sanofi, GSK coronavirus vaccine

Grant Boone
August 1, 2020

Both companies are also moving to scale-up manufacturing to produce as much as 1 billion doses per year, on the expectation that positive results in these studies could yield US regulatory approval within the first half of 2021.

"On Wednesday, we received the first consignment of 34 Covaxine (BBV152 COVID vaccine) developed by Bharat Biotech International and on Friday, we received 20 covaxine (ZyCoV-D) developed by drug firm Zydus Cadila".

GSK said in a statement that more than half of the total funding will go into further development of the vaccine, including clinical trials, with the remainder used for a manufacturing ramp-up and delivery of doses.

"We thank the USA government for playing a very important role in providing early, significant funding to enable the development and scale-up of this potentially important vaccine", said Roger Connor, President of GSK Vaccines.

The contract is the latest in a series of deals - potentially worth more than $8 billion - struck by the US government aimed at accelerating development of Covid-19 vaccines and securing large supplies before potential product approvals. By funding the manufacturing effort, the federal government will own the doses that result from the demonstration project, which will take place in parallel with the clinical trials.

"GSK is proud to be working in partnership with Sanofi to make this vaccine available at scale as soon as possible", Roger Connor, president, GSK Vaccines stated.

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Sanofi is among dozens of drug companies that are now working on vaccine projects against COVID-19. However, health care providers could charge to administer the vaccine. "We look forward to this trial demonstrating the potential of our vaccine to prevent COVID-19, so that we can defeat this pandemic". "Today's investment supports the Sanofi and GSK adjuvanted product all the way through clinical trials and manufacturing, with the potential to bring hundreds of millions of safe and effective doses to the American people".

The European Commission, the bloc's executive arm which negotiated the agreement, said it would allow all 27 member countries to purchase the vaccine once it was proven to be safe and effective.

The companies said the doses would be manufactured in European countries including France, Belgium, Germany and Italy.

The U.S. also has an option to secure an additional 500 million doses over the long-term, Sanofi said.

To that end, the companies announced on Wednesday that they agreed to supply up to 60 million doses of their COVID-19 vaccine to the United Kingdom government. ACT partners include leaders of governments, global health organizations, businesses and philanthropies.

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