SII will buy the vaccine components from Novavax and the two companies will equally split the revenue from the sale of the product, net of agreed costs, Novavax said in a US regulatory filing on Wednesday.
Adar Poonawala, CEO of SII, had told ET in an interview published on July 22 that the company was in talks with Novavax for a supply agreement.
The licences granted to SII provide exclusive rights in India during the term of the supply and license agreement. SII will have non-exclusive rights during the pandemic period (as declared by the World Health Organization) in all countries other than those designated by the World Bank as upper-middle or high-income countries, Novavax said.
SII has now signed two agreements for the supply of Covid-19 vaccines, the first being AstraZeneca-Oxford’s candidate, for which the company has agreed to produce up to 1 billion doses for low and middle-income countries. The Oxford University vaccine candidate has received permission to start phase 2 and 3 trials in India.