Acambis wins £213 million US contract

Acambis, the vaccine maker, has won a 10-year contract to supply the US Government with a smallpox vaccine, in a deal worth $425 million (£215 million).

The US Centers for Disease Control and Prevention will receive 9 million doses of the ACAM2000 vaccine annually, as part of the deal. The doses will be delivered between the third and last year of the contract, valuing each dose at an average of $3.96 over the course of the contract, after taking out license maintenance costs.

Chief executive, Ian Garland, said the economics of this deal to Acambis are quite significant. He added that annual revenue from the deal will cover operating costs at the firm’s two manufacturing centres in the US and allow further cash flow for research and development.

Acambis has already supplied the US Government with over $500 million of standard smallpox vaccines as the country stockpiled amid fears of ‘bioterrorism‘.

The company has also announced plans to raise £40 million through a placing and open offer of 37.7 million new shares at 115p each.

The placing represents one of the largest UK fundraisings in the industry for many years and comes as at a time when biotechnology companies are struggling to raise capital.

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