Bavarian Nordic Enters Licensing and Supply Agreement with Janssen on MVA-BN® Ebola Vaccine

• Crucell Holland B.V., one of the Janssen Pharmaceutical Companies of Johnson & Johnson licenses MVA-BN-based Ebola/Marburg vaccine from Bavarian Nordic 
• Bavarian Nordic will scale up and is targeting to manufacture more than 1 million doses of the prophylactic vaccine in 2015 for clinical trials and emergency use in the current Ebola outbreak in West Africa
• Johnson & Johnson Development Corporation invests DKK 251 million (approximately US$ 43 million) in new Bavarian Nordic shares
• Total potential agreement value including upfront payments, equity investment, milestones and supply contract in excess of US$ 187 million 
• The company raises its expectations to year-end cash preparedness

KVISTGAARD, Denmark, October 22, 2014 - Bavarian Nordic A/S (OMX: BAVA, OTC: BVNRY) announced today a global license and supply agreement for its MVA-BN Filovirus (Ebola and Marburg) vaccine candidate with Crucell Holland B.V, one of the Janssen Pharmaceutical Companies of Johnson & Johnson. 

Under the terms of the agreement, Bavarian Nordic will grant Janssen an exclusive license for its multivalent MVA-BN Filovirus vaccine, designed to protect against Ebola Zaire, Ebola Sudan and Marburg virus. Bavarian Nordic will receive an upfront payment of US$ 25 million and is entitled to up to US$ 20 million in development and regulatory milestones, in addition to royalties for commercial sales outside Africa. Janssen will be fully responsible for all costs associated with the development and commercialization of the vaccine.

In addition, Bavarian Nordic will scale up its production and is targeting to manufacture more than 1 million doses of the vaccine valued at US$ 99.3 million, of which Janssen will make an upfront payment of US$ 70.8 million. The remaining US$ 28.5 million will be received pro rata with deliveries in 2015.

A combination vaccine regimen of Bavarian Nordic's multivalent MVA-BN Filovirus vaccine and Janssen's AdVac® technology recently demonstrated complete protection against Ebola in preclinical studies and Janssen will now undertake further clinical investigation of this regimen. Furthermore, Janssen is working closely with authorities as part of its prioritized efforts to make the vaccines available for emergency use to help contain the current outbreak in West Africa.

Additionally, through a private placement, Johnson & Johnson Development Corporation will invest DKK 251 million (approximately US$ 43 million) to subscribe for new shares of Bavarian Nordic. Further details on the subscription of shares will be announced separately.