Pfizer Inc (NYSE:PFE) and BioNTech SE (NASDAQ:BNTX) have announced a new research, development, and commercialization collaboration to develop a potential first mRNA-based vaccine for the prevention of shingles.
- The agreement marks the third collaboration between Pfizer and BioNTech in the infectious diseases field, following influenza and COVID-19 vaccine collaborations initiated in 2018 and 2020. respectively.
- The parties will share development costs. Clinical trials are planned to start in H2 of 2022.
- Pfizer will have the right to commercialize the potential vaccine globally, except Germany, Turkey, and certain developing countries where BioNTech will have commercialization rights.
- The companies will share gross profits from the commercialization of any product.
- Under the agreement terms, Pfizer will pay BioNTech $225 million in upfront payments, including a cash payment of $75 million and an equity investment of $150 million.
- BioNTech can receive future regulatory and sales milestone payments of up to $200 million.
- BioNTech will pay Pfizer $25 million for the company's proprietary antigen technology.
- Price Action: BNTX shares are up 2.65% at $230.30, and PFE stock is up 1.72% at $55.47 during the premarket session on the last check Wednesday.
