Vaccine company Novavax Inc (Nasdaq: NVAX) announced on Wednesday that it has signed an agreement to sell its Bohumil, Czech Republic manufacturing facility to Novo Nordisk for USD200m. The transaction includes a 150,000-square-foot protein manufacturing site, its workforce, and supporting infrastructure.

The deal will provide Novavax with USD190m in cash in 2024 and an additional USD10m in 2025. The sale is expected to reduce annual operating costs by approximately USD80m, offering non-dilutive capital to support Novavax's strategy of advancing its vaccine pipeline and leveraging its Matrix-M adjuvant and nanoparticle protein-based technology platform.

Closure of the agreement is anticipated by 30 December 2024, after which Novo Nordisk will assume full responsibility for the facility.

Novavax focuses on developing innovative protein-based vaccines, including its COVID-19 and influenza candidates. Its Matrix-M adjuvant is also a key component of the University of Oxford and Serum Institute of India's R21/Matrix-M malaria vaccine.