(Adds details, combines two stories)
By Francesco Guarascio
BRUSSELS, Aug 27 (Reuters) - The European Commission has
made a 336 million euros ($396 million) downpayment to British
drug maker AstraZeneca to secure at least 300 million
doses of its potential COVID-19 vaccine, a spokesman said on
Thursday.
The deal covers development, liability and other costs faced
by the vaccine maker. The EU has also secured an option to buy
100 million additional doses of the vaccine under development.
The 27 EU states could buy it at a later stage, should the
vaccine prove successful.
The overall price they will pay to acquire the doses has not
been revealed, but under an earlier deal struck in June with
AstraZeneca by Germany, France, Italy and the Netherlands, all
members of the EU, AstraZeneca agreed to sell 300 million doses
for 750 million euros ($843 million).
The EU deal completed the preliminary accord reached with
the drug maker by the four countries, the Commission said in a
statement.
"We cannot indicate at this stage the specific pricing per
dose. However, a significant part of the overall costs are
funded by a contribution from the overall ESI funding for
vaccines," the commission spokesman said, referring to the 336
million euros paid through the bloc's so-called emergency
support instrument.
It is the first contract signed by the EU with a maker of
potential COVID-19 vaccines. Brussels was previously said to be
in advanced talks with Johnson & Johnson, Sanofi
, Moderna and CureVac for their
potential vaccines.
EU officials told Reuters in July the bloc was also talking
with Pfizer and BionTech for the shot they are
developing together.
The contract with AstraZeneca follows an advance purchase
agreement signed by Brussels with the company earlier in August
.
Part of the money the EU pays for supply deals covers legal
risks faced by vaccine makers if their shots have unexpected
side effects. These risks are increased by the hastened process
to develop a vaccine in the race against the COVID-19 pandemic.
"In order to compensate for such high risks taken by
manufacturers, the Advanced Purchase Agreements provide for
member states to indemnify the manufacturer for liabilities
incurred under certain conditions," the commission said.
"Liability still remains with the companies," it added.
This issue has been one of the stumbling blocs in talks with
other vaccine makers, official told Reuters, as companies prefer
to have a broader shield.
($1 = 0.8479 euros)
(Reporting by Francesco Guarascio
Additional reporting by Josephine Mason
Editing by Jan Harvey and David Holmes)
Astrazeneca (AZN)
