U.S. Government Awards BioCryst $69 Million RAPIVAB® (peramivir injection) Contract for Strategic National Stockpile

Rhea-AI Summary

BioCryst Pharmaceuticals has been awarded a contract worth up to $69 million by the U.S. Department of Health and Human Services for the procurement of up to 95,625 doses of RAPIVAB® (peramivir injection) over a five-year period. The contract is structured with a 12-month base ordering period and four optional 12-month periods. The first ordering period, worth $13.9 million for 19,125 doses, has been executed and will be fulfilled by September 29, 2025.

RAPIVAB will be supplied to the Strategic National Stockpile for use in potential public health emergencies related to influenza. This contract follows a previous $34.7 million contract awarded in 2018 for 50,000 doses, which was completed in 2022. RAPIVAB has been part of the U.S. government's influenza preparedness efforts since the 2009 H1N1 pandemic.

Positive

• Secured a contract worth up to $69 million over five years
• First order of $13.9 million for 19,125 doses already executed
• Continued government recognition of RAPIVAB's importance in influenza preparedness
• Potential for additional orders over the next four years

Negative

• None.

Insights

Financial Analyst

This $69 million contract for RAPIVAB® is a significant development for BioCryst Pharmaceuticals. The deal provides a stable revenue stream over five years, enhancing the company's financial stability. The initial $13.9 million order for 19,125 doses in the first year is particularly noteworthy, representing immediate cash flow. This contract renewal, following the completion of a previous $34.7 million contract in 2022, demonstrates the U.S. government's continued confidence in RAPIVAB®. For investors, this signals reduced revenue volatility and strengthened government relations. However, it's important to note that while significant, this contract represents only a fraction of BioCryst's $1.57 billion market cap, suggesting that while positive, it may not dramatically alter the company's overall financial picture.

Medical Research Analyst

The renewal of the RAPIVAB® contract for the Strategic National Stockpile underscores the drug's continued relevance in pandemic preparedness. Its effectiveness against emerging influenza strains, including the H1N1 virus, positions it as a critical tool in public health emergencies. The contract's structure, allowing for up to 95,625 doses over five years, indicates a long-term commitment to maintaining adequate supplies. This not only benefits public health but also provides BioCryst with a stable platform for continued research and development in antiviral therapies. The government's ongoing investment in RAPIVAB® since 2009 suggests confidence in its efficacy and safety profile. For the broader medical community, this contract reinforces the importance of maintaining diverse therapeutic options for influenza, especially in light of viral mutations and potential future pandemics.

RESEARCH TRIANGLE PARK, N.C., Sept. 30, 2024 (GLOBE NEWSWIRE) -- BioCryst Pharmaceuticals, Inc. (Nasdaq: BCRX) today announced that the U.S. Department of Health and Human Services (HHS) has awarded BioCryst up to a $69 million contract for the procurement of up to 95,625 doses over a five-year period of RAPIVAB^® (peramivir injection) for the treatment of influenza.

The contract, awarded by the HHS Office of the Administration for Strategic Preparedness and Response (ASPR), will supply the Center for the Strategic National Stockpile (SNS), the nation’s largest supply of life-saving pharmaceuticals and medical supplies for use in a public health emergency. The contract is structured with a 12-month base ordering period and four optional 12-month ordering periods, which the government can exercise on an annual basis. ASPR has executed the first ordering period for $13.9 million and BioCryst plans to supply 19,125 doses to fulfill this option between now and September 29, 2025.

“Since the 2009 H1N1 pandemic, RAPIVAB has been an important component of the U.S. government’s influenza preparedness efforts. As we continue to see emerging changes to circulating influenza viruses, we are pleased to fulfill this order to ensure RAPIVAB remains readily available as a therapeutic option in the event of a potential serious influenza outbreak,” said Dr. Helen Thackray, chief research and development officer of BioCryst.

RAPIVAB was originally stockpiled by the U.S. government under an emergency use authorization in 2009 during the H1N1 influenza pandemic. In 2018, the Centers for Disease Control and Prevention awarded the company a $34.7 million contract for the procurement of up to 50,000 doses of RAPIVAB over a five-year period for the SNS, which was completed by BioCryst in 2022.

About RAPIVAB^® (peramivir injection)
RAPIVAB^® (peramivir injection) is approved in the United States for the treatment of acute uncomplicated influenza in patients six months and older who have been symptomatic for no more than two days. It is administered via an intravenous infusion for a minimum of 15 minutes at recommended doses of 600 mg for adults and adolescents and 12 mg/kg for pediatric patients ages six months to 12 years. Efficacy of RAPIVAB is based on clinical trials of naturally occurring influenza in which the predominant influenza infections were influenza A virus and a limited number of patients infected with influenza B virus. Visit www.rapivab.com to learn more.

About BioCryst Pharmaceuticals
BioCryst Pharmaceuticals is a global biotechnology company with a deep commitment to improving the lives of people living with complement-mediated and other rare diseases. BioCryst leverages its expertise in structure-guided drug design to develop first-in-class or best-in-class oral small-molecule and protein therapeutics to target difficult-to-treat diseases. BioCryst has commercialized ORLADEYO^® (berotralstat), the first oral, once-daily plasma kallikrein inhibitor, and is advancing a pipeline of small-molecule and protein therapies. For more information, please visit www.biocryst.com or follow us on LinkedIn.

Forward-Looking Statements
This press release contains forward-looking statements, including statements regarding BioCryst’s plans and expectations for RAPIVAB. These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These statements reflect our current views with respect to future events and are based on assumptions and are subject to risks and uncertainties. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Some of the factors that could affect the forward-looking statements contained herein include: the HHS may purchase smaller quantities of RAPIVAB than currently anticipated, or none at all; BioCryst relies on third-party manufacturers to manufacture RAPIVAB in a timely manner and in accordance with applicable governmental regulations, and any failure of such third-party manufacturers to perform their obligations could impact BioCryst’s ability to supply RAPIVAB pursuant to the HHS procurement contract; and government contracts contain certain terms and conditions, including termination provisions, that subject BioCryst to additional risks. Please refer to the documents BioCryst files periodically with the Securities and Exchange Commission, specifically BioCryst’s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, which identify important factors that could cause the actual results to differ materially from those contained in BioCryst’s forward-looking statements.

BCRXW

Contact:
John Bluth
+1 919 859 7910
jbluth@biocryst.com

FAQ

What is the value of the new RAPIVAB contract awarded to BioCryst (BCRX)?

The U.S. government has awarded BioCryst a contract worth up to $69 million for the procurement of RAPIVAB over a five-year period.

How many doses of RAPIVAB will BioCryst (BCRX) supply under the new contract?

BioCryst will supply up to 95,625 doses of RAPIVAB over the five-year contract period.

What is the value of the first order under the new RAPIVAB contract for BioCryst (BCRX)?

The first order under the new contract is worth $13.9 million for 19,125 doses of RAPIVAB.

When did RAPIVAB first become part of the U.S. government's influenza preparedness efforts?

RAPIVAB has been part of the U.S. government's influenza preparedness efforts since the 2009 H1N1 pandemic.