Novavax, Inc. (NASDAQ:NVAX) has secured another sales channel for its COVID-19 vaccine under development. The vaccine- developer has reached an agreement with the Canadian government to supply 76 million doses of the experimental coronavirus vaccine once Health Canada approves it.
Novavax COVID-19 Vaccine
The company is yet to confirm terms of the deal or how much money it is poised to generate from the sale of the 76 million doses. However, it expects to complete an agreement for the doses’ supply as early as the second quarter of next -year. The company has also inked deals to supply 100 million doses of the vaccine to the U.S and 60 million doses to the U.K.
Novavax is one of the companies in advanced stages on the development of the much-needed COVID-19 vaccine. Its candidate product NVX-CoV2373 is in phase 2 trials with late-stage trials scheduled for October.
Strong demand for a safe and effective coronavirus vaccine is already causing competition between countries. The World Health Organization has already warned that the speed at which countries are moving to secure vaccines could drive prices higher.
Covid-19 Vaccine Strong Demand
The American vaccine-developer is one of the companies poised to benefit as governments worldwide rush to secure key supply lines for COVID-19 vaccines. Canada has already ramped up similar deals with Pfizer and Moderna as it continues to secure key COVID-19 vaccine supplies.
On its part, the U.S has invested more than $10 billion in Six COVID-19 vaccines under development. The investment is part of the country’s push to accelerate the development and manufacturing of the vaccine needed to bring the pandemic under control.
Amid the plethora of deals that Novavax has signed for its COVID-19 vaccine is stock has struggled to bounce back to its peak. However, it is still up by more than 2,000% for the year. The stock remains bullish and likely to jump higher amid a string of positive news on its COVID-19 vaccine. However, investors are also wary of the pitfalls on the company failing to succeed on the development of an effective and safe vaccine.