EBS - Here's Why Emergent BioSolutions Jumped Higher on Tuesday
Shares of Emergent BioSolutions (NYSE: EBS) jumped 10.2% on Tuesday after the bioterrorism expert said that it's working with Novavax (NASDAQ: NVAX) to develop its vaccine against the coronavirus that causes COVID-19.
The announcement shouldn't have come as much of a surprise. On its fourth-quarter conference call last month, Emergent's president and CEO, Robert Kramer, said the company was in talks with the U.S. government, non-governmental organizations, and other companies to see how Emergent could use its resources and expertise to help develop a vaccine, treatment, or diagnostic for COVID-19.
Emergent is known for manufacturing its own products, many of which are purchased by the government and stockpiled in case of an attack or emergence of an infectious disease, but the company also has a contract manufacturing business where it makes products for other drugmakers.