Valneva has been awarded research and development funding of up to £20m by Scottish Enterprise.
The investment from Scotland’s national economic development agency follows advanced discussions reported in December, and will be comprised of two grants, building on a longstanding engagement with the French biotech company’s manufacturing site in Livingston.
The grants are expected to be received over the next three years, commencing March.
The first grant of up to £12.5m will support research and development related to the manufacture of VLA2001, Valneva’s inactivated, whole virus Covid-19 vaccine candidate.
The second grant of up to £7.5m will support research and development connected to Valneva’s manufacturing processes for other vaccines.
Valneva’s research and development portfolio includes VLA1553, the company’s single-shot vaccine candidate against the mosquito-borne viral infection Chikungunya, which it also intends to manufacture in Livingston.
The company reported positive phase three results in 2021 for both VLA2001 and VLA1553.
Thomas Lingelbach, chief executive of Valneva, said: “From the only inactivated, whole virus Covid-19 vaccine candidate in clinical development in Europe, to the most clinically advanced vaccine candidate against Chikungunya in the world, Scottish Enterprise’s investment will support progress across Valneva’s research and development portfolio – as well as jobs and growth in Scotland.”
Adrian Gillespie, chief executive of Scottish Enterprise, commented: “This is a huge vote of confidence in our life sciences sector and its highly skilled workforce, with one of the largest and most advanced vaccine manufacturing sites in the world now firmly anchored in Scotland and set to export its life-saving vaccines across the world.”
Hannah Bardell, MP for Livingston, added: “This funding will enable Valneva to continue its expansion in Livingston, securing vital vaccine production capabilities and protecting crucial jobs.”
The grants signed with Scottish Enterprise are tied to the safeguarding and creation of jobs at Valneva’s Livingston site and, before receiving funds, Valneva must provide a legal opinion and a parent guarantee.
Following discussions between Valneva and the Scottish Government, it continues to update the government on the development of VLA2001.
Discussions have included the potential supply of VLA2001 to Scotland in the future, subject to regulatory approval, as well as an offer from Valneva to make up to 25,000 doses of VLA2001 available, free of charge, to NHS and frontline workers in Scotland.
Last September, the UK Government terminated an agreement with Valneva for around 100 million doses of the vaccine.
Westminster served notice over allegations of a breach of the agreement, but the firm, which is manufacturing the jab at its site in West Lothian, said it “strenuously” denied the allegations.
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