The US Department of Health and Human Services (HHS) has awarded Novartis Vaccines up to USD 220 million to support the development of a cell culture-derived influenza vaccine, both to supply seasonal influenza vaccine and to respond rapidly in the event of an influenza pandemic.

"Novartis is pleased to be working together with the US government to provide a reliable vaccine supply for US citizens and to further strengthen pandemic preparedness," said Dr. Daniel Vasella, Chairman and CEO of Novartis.

"We will be investing additional resources in highly skilled researchers to set up one of the first flu cell culture manufacturing sites in the US. This plant will contribute to America's vaccine infrastructure for seasonal flu and support the US government's ability to respond quickly to a potential pandemic, with access to new technologies to ensure sufficient capacity," he added.

Cell culture-derived influenza vaccines (flu cell culture vaccines) use modern biotechnology cell cultures rather than chicken eggs for primary production. Flu cell culture production enables flexible, faster start-up of vaccine manufacturing, and is independent of the availability of eggs, providing a particularly important advantage in the event of an influenza pandemic.

"This HHS contract confirms the strategic investment of Novartis in vaccines to further enhance innovation of new technologies for preventive healthcare measures," Dr. Joerg Reinhardt, CEO of Novartis Vaccines & Diagnostics said adding, "Flu cell culture could represent the next generation of flu vaccines, which will enable us to consistently meet demand and quickly respond to any surges of need."

According to the release, the award made to Novartis is part of a larger HHS initiative to expand US domestic influenza vaccines infrastructure. The HHS contract commits up to USD 220 million over five years to support product development as well as facility and equipment design and validation.