Sinovac will supply Brazil with around 60 million varicella and rabies vaccine doses over the next decade.
Photo from Jiemian News
by HOU Ruining
Sinovac Biotech has won more than US$700 million in long-term vaccine supply contracts with Brazil, agreeing to deliver about 60 million doses of varicella and rabies vaccines over ten years, in what it calls the longest and largest overseas contract yet for a Chinese vaccine maker.
Brazil has been a key market for CoronaVac, Sinovac's inactivated Covid-19 vaccine, which was widely used in the country's immunization campaign.
The deal comes as Sinovac faces a potential Nasdaq delisting. On Nov. 18, the company said it had received a delisting notice after failing to file its 2024 Form 20-F by the extended Nov. 11 deadline. Unless it requests a hearing, the company's securities will be suspended from trading and delisted at the market open on Nov. 21, 2025. Sinovac attributed the delay to the resignation of its independent auditor and said the listing situation "will not affect core operations." Nasdaq had previously halted trading in Sinovac shares in 2019 citing governance concerns.
Sinovac became known internationally for CoronaVac, which was approved for emergency use in more than 60 countries and regions. In 2021, the company reported US$19.4 billion in revenue and US$8.46 billion in net profit, earning it the "vaccine king" moniker in Chinese media during the pandemic.
Demand has since fallen sharply. In the first half of 2024, Sinovac's sales dropped 13.6% to US$121.3 million, and it posted a net loss of US$68.6 million. Cash and restricted cash stood at US$1.1 billion as of June 2024.
Founded in 2001, Sinovac was the first Chinese vaccine maker to list in the United States, entering Nasdaq through a reverse merger before later moving to AMEX and then returning to Nasdaq's Global Market. The company has expanded its business in Latin America, especially in Brazil, where Partnerships for Productive Development (PDPs) are designed to support local production of strategic health products through long-term supply agreements.
Sinovac did not provide further financial details of the new contracts.
