Some analysts say GlaxoSmithKline could enjoy benefits from selling its adjuvant for COVID-19 vaccines without impairing its lucrative vaccine business, reported Morningstar.
GlaxoSmithKline now has agreements to supply its adjuvant to four vaccine developers, including Sanofi, and stands ready to produce one billion doses of its adjuvant next year, whereas it normally produces tens of millions annually.
"There is political capital to be gained from what they're doing, and there may be some financial returns to be had as well," says Citigroup analyst Andrew Baum.
According to the news source, GlaxoSmithKline was aggressive in its pursuit of vaccine makers that wanted access to its adjuvant. One was Sanofi, with GlaxoSmithKline calling David Loew, the head of Sanofi's vaccine unit, to see if the French drugmaker would be interested in pairing its vaccine with the adjuvant.
Executives say the UK drugmaker settled on its adjuvant strategy as a way to contribute to the COVID-19 response without losing focus on its pre-pandemic mission of reinvigorating the company's product pipeline or disrupting its existing vaccine manufacturing supply chain.
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