AstraZeneca Expands COVID-19 Vaccine Manufacturing Partnership with Oxford Biomedica, Pays $20M Upfront

AstraZeneca and Oxford Biomedica Announce Further Expansion of Collaboration on COVID-19 Vaccine; AstraZeneca to Pay $20 Million Upfront Fee to Secure Up to 1,000 Liters of Production Capacity for Adenoviral Vector-Based COVID-19 Vaccine AZD1222, with Supply Guaranteed for at Least 18 Months

It is reported that the two companies signed an initial cooperation agreement in May this year. The agreement at that time only stipulated a one-year cooperation period and a vaccine production volume of 200 liters. This current collaboration represents a further expansion of the previous partnership, increasing production capacity while extending the duration of cooperation. Furthermore, this agreement spans three years, including an additional 18-month reserve period beyond the required 18-month supply period.

As part of the agreement, Oxford Biomedica will reserve production capacity for AstraZeneca in three manufacturing suites within Oxbox, the group’s new 7,800-square-meter commercial manufacturing center, during the initial 18 months. This new GMP facility is designed for the production of viral vector vaccines and gene therapy vectors at scales of up to 1,000 liters. In a press release, Oxford Biomedica stated that the CDMO, specializing in viral vectors, expects to generate revenue of at least $47 million upon commencing production of AZD1222.

In addition to the partnership with AstraZeneca, Oxford Biomedica previously entered into a five-year collaborative agreement with the UK Vaccine Manufacturing and Innovation Centre (VMIC). In support of this collaboration, Oxford Biomedica announced that two new production suites within its Oxbox facility will become operational within the next two months, significantly ahead of the original schedule.

Although the collaboration with AstraZeneca requires Oxford Biomedica to invest in several new production suites for this key project, Oxford Biomedica predicts that this will not impact any of its existing partnerships, thereby ensuring the ability to secure or support new collaborations in the cell and gene therapy sector.

Currently, AstraZeneca is collaborating with researchers at the University of Oxford to develop a COVID-19 vaccine, with global production capacity approaching 3 billion doses. The announcement of this deal coincides with AstraZeneca’s revelation that late-stage trials of the vaccine have commenced in the United States, as part of a planned global trial involving 30,000 adults.

In addition, AstraZeneca, Pfizer, and BioNTech stated that they might obtain collaborative data on their COVID-19 vaccines before October to secure emergency authorization from U.S. regulatory authorities.

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