Emergent snares contract worth up to $236M to supply anthrax vaccine to Defense Department

Emergent BioSolutions was awarded a 5-year, $235.8 million contract with the U.S. Department of Defense to supply the anthrax vaccine BioThrax to the various branches of the military.

Under the terms of the deal, Emergent is guaranteed a purchase minimum of $20.1 million, with future orders estimated to be worth at least $20 million for each following year. Beyond the initial 5-year term, the contract has a 5-year option that could extend the deal to 2033.

In all, the procurement pact could be worth up to $235.8 million, the company said in a Jan. 11 release.

“Emergent is proud to continue supporting and preparing our nation’s service members who have a high risk of exposure to anthrax bacteria by supplying BioThrax vaccine,” Paul Williams, senior vice president, products head at Emergent, said in the release.

Founded in 1998, Emergent has been a long-time supplier of anthrax countermeasures to the U.S. government. Its procurement deals have included a CDC contract worth up to $911 million in 2016, and a $258 million contract modification from the Office of the Assistant Secretary for Preparedness and Response in 2020.

During the pandemic, the drug manufacturer faced high-profile setbacks in its efforts to help make COVID-19 vaccines. 

Emergent’s former chief executive, Robert Kramer, who played a key role in the company’s growth, resigned in July. He was replaced on an interim basis by Haywood Miller, the managing director of Berkeley Research Group.