AstraZeneca PLC (LSE:AZN) (LSE:AZN) and the European Union have reached an agreement on the delivery of outstanding COVID-19 vaccine doses by the pharmaceutical company, which will end the legal dispute between the two parties.
A contract between AstraZeneca and the EU, entered into in 2020, estimated the delivery of 300 million vaccine doses by the end of June 2021, but so far, only 100 million doses have been supplied.
Under the settlement announced today by the European Commission, AstraZeneca will deliver the remaining 200 million doses by the end of March 2022.
The commission said 60 million doses will be delivered by the end of September and 75 million by the end of December this year, with the remaining 65 million doses supplied by the end of March 2022.
“The agreement will also end the pending litigation before the Brussels Court,” the Commission said.
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 200mln doses of vaccines through COVAX with low and middle-income countries until the end of this year. Vaccine solidarity is and remains our trademark.”