Novavax to discontinue collaboration agreement with ROVI Pharmaceuticals

Feb 8 2010

Novavax, Inc. (Nasdaq: NVAX) announced today that the company has decided to discontinue negotiations in its pursuit of the previously announced collaboration with ROVI Pharmaceuticals (Madrid: ROVI) to develop Novavax's virus-like-particle (VLP)-based vaccines against influenza in the country of Spain.  This decision is due to the companies' inability to agree on acceptable terms of the proposed collaboration and to obtain the necessary funding commitments for the program.  Novavax is free to seek a new partner for its pandemic and seasonal influenza vaccine development efforts in Europe in the future.

Dr. Rahul Singhvi, President and Chief Executive Officer of Novavax, stated: "We are disappointed that we could not reach agreement with ROVI on the terms of our proposed collaboration and obtain the necessary funds to guarantee the advancement of the influenza program in Spain.  We appreciate the Spanish government's interest in working with us to develop a VLP-based flu vaccine solution for Spain and will continue to seek partners for in-border development of our influenza vaccines throughout Europe. In the meantime, we are continuing to make great progress with the development of our vaccines in Mexico, India and the US.  In Mexico, we are currently awaiting results from our H1N1 influenza vaccine clinical study.  In India, we expect to open a VLP vaccine production facility in March.  And in the United States, we are awaiting results of our seasonal influenza vaccine study in the elderly.  We also anticipate receiving an ultimate decision from the U.S. Department of Health and Human Services' Biomedical Advanced Research and Development Authority (BARDA) regarding funding to develop recombinant influenza vaccines and look forward to launching clinical development of our vaccine against respiratory syncytial virus (RSV) later this year."