The failure of Moderna faced on its deal cancellation by the Department of Health and Human Services, worth $760 million, which was in support of developing the vaccine named mRNA -1018, has turned into a profit for the company.
After learning of the cancellation of the partially covered contract, the Coalition for Epidemic Preparedness Innovations granted $54.3 million to Moderna to progress and establish its avian influenza mRNA vaccine. Based on the company’s announcement, on Thursday, the funding was confirmed to add valuable financial backup to the major phase 3 trial for Moderna’s investigational H5 pandemic influenza participant mRNA -1018. It might be the first ever vaccine for a pandemic-stage influenza virus to inaugurate the Phase 3 trial.
CEPI CEO, Richard Hatchett, said, “By holding the adaptability and quickness of mRNA technology, we could cut months off the feedback time, allow equitable access for all and serve vaccines at scale. This is how we pre-plan to safeguard the globe from the next flu pandemic.”
As per the funding deal, the company will put its 20% of its manufacturing potential for mRNA – 1018 for real time supply to low and middle income graph countries at low prices. The previously decided source of funding for the same initiatives did not succeed, as HHS cancelled a $760 million deal between Moderna and the Biomedical Advanced Research and Development Authority (BARDA).
Nevertheless, the new robust contract between Moderna and CEPI is a part of a vast coalition, which the two built in 2023 to generate the mRNA vaccines for the disturbing viral disease outbreaks that hammer global health. This strenthght boosted with the project to assess AI-created designs for an infinite number of yet to be revealed viral families.
CEPI is a public/private collaborator focused on establishing new vaccines to prepare and fight against future pandemics. CEPI’s agreement with Moderna will lead CEPI to discover a valuable vaccine aid for unexpected and unfavourable events like COVID19 pandemic. Alongside, Moderna also declared the results of a Phase 1/2 trial for mRNA -1018 that showed increased antibody titers equivalent to an immune shield, after two doses of the vaccine for continuous three weeks, showed 97.8% of progress in the candidates.
CEPI was the first official supporter of Moderna’s COVID-19 vaccine, with $900,000 in hand to establish the vaccine in January 2020. Now, this new agreement is another boon to the vaccine sector and for both entities as well.
Mansi Kadam is a market research writer with over 3 years of experience analyzing trends in the healthcare industry. At Towards Healthcare, she covers innovations in medical sector, sustainability initiatives, and the evolving regulatory landscape.
