Denmark-based vaccines company Bavarian Nordic A/S (CPH:BAVA) announced on Friday it has been awarded a new and expanded procurement framework contract by the European Commission through the Health Emergency Preparedness and Response Authority (HERA).

This agreement allows the EU, its member states, and additional European countries to purchase up to 8 million doses of the company's MVA-BN smallpox and mpox vaccine over the next four years.

The new contract replaces a 2022 agreement and is designed to strengthen Europe's preparedness against smallpox and mpox outbreaks. It has an initial term of two years with the option to extend for an additional two years.

Approximately 1.1 million doses have already been committed, with the first 750,000 expected to be delivered in 2026. The contract also includes provisions for supplying doses at adjusted prices for donation to low- and lower-middle-income countries in the event of future outbreaks.

Finalisation of the agreement is pending the expiry of the statutory 10-day standstill period.