September 21, 2024
Moderna ( MRNA ) shares edged higher Tuesday after the biotech firm received a federal grant to develop a vaccine to prevent bird flu in humans.
The company announced that the $176 million project award from the Rapid Response Partnership Vehicle (RRPV) of the U.S. Department of Health and Human Services is aimed at accelerating mRNA-based shots against the highly infectious H5 influenza virus, which causes severe illness in birds and “poses a risk for spillover into the human population.”
The Centers for Disease Control and Prevention (CDC) has reported four cases of people being infected with bird flu since 2022, three of which came from exposure to sick cows, and one from poultry. The World Health Organization (WHO) has recorded 254 human cases worldwide since January 2023.
Moderna noted the agreement “includes additional options to prepare and accelerate a response to future public health threats.”
Chief Executive Officer (CEO ) Stephane Bancel pointed out that during the COVID-19 pandemic the company’s mRNA vaccine technology demonstrated “advantages in efficacy, speed of development, and production scalability and reliability in addressing infectious disease outbreaks.”
In 2023, Moderna launched a Phase 1/2 study of an experimental H5 influenza shot. It expects results this year, and will then decide on Phase 3 development plans.
Shares of Moderna rose 0.5% to $116.54 as of 10 a.m. ET Tuesday. They are up about 17% so far in 2024.
