EU and AstraZeneca agree to end squabble over COVID-19 vaccine supply

Today the European Union and AstraZeneca (LSE: AZN) reached an agreement which will secure the delivery of the remaining COVID-19 vaccine doses to member states under the terms of the Advance Purchase Agreement concluded on August 27, 2020 with UK pharm major AstraZeneca. The agreement will also end the pending litigation before the Brussels Court.

Commissioner for Health and Food Safety Stella Kyriakides said: "Today's settlement agreement guarantees the delivery of the remaining 200 million COVID-19 vaccine doses by AstraZeneca to the EU. While this week we reached the important milestone of 70% full vaccination of the EU's adult population, there are significant differences in vaccination rates between our member states, and the continued availability of vaccines, including AstraZeneca's, remain crucial. And as the strongest supporter of global vaccine cooperation and solidarity, we will continue helping the rest of the world. Our aim is to share at least 200 million doses of vaccines through COVAX with low and middle-income countries until the end of this year. Vaccine solidarity is and remains our trademark."

This settlement agreement provides for the firm commitment by AstraZeneca to deliver, in addition to the around 100 million doses of its Vaxzevria delivered until end of second quarter, 135 million doses by the end of 2021 (60 million doses by the end of third quarter and 75 million doses by the end of fourth quarter) and the remaining doses (65 million) by the end of March 2022.This will bring the total number of doses delivered to 300 million doses as agreed under the contract.