Sanofi, in its pursuit of a robust vaccine portfolio, has forged a co-exclusive licensing agreement with Novavax, a biotech firm headquartered in Maryland, USA.
The terms of this agreement encompass several key elements: Sanofi gains a co-exclusive license to globally co-market Novavax’s standalone adjuvanted COVID-19 vaccine, with exceptions for countries under existing Advance Purchase Agreements and partnership agreements in India, Japan, and South Korea. Additionally, Sanofi secures a sole license to utilize Novavax’s adjuvanted COVID-19 vaccine alongside its flu vaccines, and a non-exclusive license for the use of the Matrix-M adjuvant in vaccine products. As part of the deal, Sanofi will also make a minority equity investment in Novavax.
Jean-Francois Toussaint, Global Head of Vaccines R&D at Sanofi, highlighted the potential of combining flu and COVID-19 vaccines to offer patients enhanced protection against both viruses. Toussaint emphasized the compatibility of Novavax’s COVID-19 vaccine with Sanofi’s flu vaccine portfolio, aiming for improved tolerability and stability without compromising efficacy.
Novavax’s CEO, John Jacobs, underscored the significance of the collaboration for global public health. He emphasized the combination of Novavax’s technologies and expertise with Sanofi’s leadership in vaccine commercialization. Jacobs expressed optimism about broadening access to COVID-19 vaccines and adjuvants through this partnership.
Under the agreement’s financial terms, Novavax will receive an upfront payment of $500 million and up to $700 million in milestones related to development, regulatory approvals, and launch. The total potential payments to Novavax could reach $1.2 billion. Sanofi will begin booking sales of Novavax’s adjuvanted COVID-19 vaccine in 2025 and will support certain R&D, regulatory, and commercial expenses. Novavax will receive royalties on Sanofi’s sales of COVID-19 vaccines and flu-COVID-19 combination vaccines.
Sanofi will take sole responsibility for developing and commercializing any novel flu-COVID-19 combination vaccines containing its flu vaccine. Both parties retain the option to independently develop and market their flu-COVID-19 vaccines and adjuvanted products.
Novavax is entitled to additional milestone payments and royalties for each additional Sanofi vaccine product developed under a non-exclusive license with Novavax’s Matrix-M adjuvant technology. Sanofi will also make a minority equity investment in Novavax.
Novavax, Inc. focuses on developing and commercializing innovative vaccines to combat infectious diseases, leveraging its recombinant protein approach, nanoparticle technology, and Matrix-M adjuvant. Sanofi, a global healthcare company, aims to improve lives through scientific innovation, providing treatment options and vaccines globally while prioritizing sustainability and social responsibility.
