VALN - Dynavax under pressure after U.K. ends COVID-19 vaccine deal with collaborator Valneva

Dynavax Technologies (NASDAQ:DVAX) falls 12.3% premarket after its collaborator Valneva, down 30.6% premarket received termination notice from the U.K. Government in relation to supply agreement for its COVID-19 vaccine candidate, VLA2001. U.K. ended COVID-19 vaccine supply deal with Valneva stating alleging a breach of obligations. Valneva stated that they intend to continue clinical development of VLA2001 and the Phase 3 trial for VLA2001, Cov-Compare, remains ongoing at Public Health England. Under Dynavax's existing supply agreement for CpG 1018, purchase orders submitted by Valneva are cancellable if the U.K. Government reduces or terminates its order for VLA2001, in which case, Valneva would not be obligated to pay the final portion of an outstanding purchase order. Valneva has not yet cancelled any outstanding purchase orders for CpG 1018. Dynavax has the right to retain any portion of the purchase price for CpG 1018 made in advance by Valneva as well as any CpG 1018 manufactured but not

For further details see:

Dynavax under pressure after U.K. ends COVID-19 vaccine deal with collaborator Valneva