Emergent BioSolutions Inc. and the Department of Health and Human Services have terminated a pandemic preparedness contract the Gaithersburg company has held since 2012.
Emergent (NYSE: EBS) said it reached “a mutual agreement” to terminate a contract that established a public-private partnership for pandemic preparedness and designated the company’s Baltimore manufacturing facility as a Center for Innovation and Advanced Development and Manufacturing (CIADM). The termination includes “all associated task orders, including the 2020 task order to reserve capacity and expand manufacturing for third-party Covid-19 vaccine and therapeutic candidates,” the company announced Thursday after the closing bell as part of its third-quarter earnings disclosures.
The contract termination means that Emergent will lose out on approximately $180 million in value from the 2020 Covid task order — work the company says was slated to end at the end of 2021 anyway — and a little more than $22 million…
Read the full story from the Washington Business Journal.
