Bavarian Nordic Announces a New Order for JYNNEOS Smallpox Vaccine from the U.S. Government Potentially Worth USD 200 Million

• The new order for up to 1.4 million liquid-frozen doses of JYNNEOS and additional vaccine bulk was placed under the existing 10-year contract awarded in 2017
• USD 106 million has been secured, with the majority being revenue recognized in 2020, while the remaining option is expected to be revenue recognized in 2021
• Company reaffirms 2020 financial guidance

Copenhagen, Denmark, April 30, 2020 – Bavarian Nordic A/S (OMX: BAVA, OTC: BVNRY) today announced that the U.S. Biomedical Advanced Research and Development Authority (BARDA), part of the Office of the Assistant Secretary for Preparedness and Response at the U.S. Department of Health and Human Services, has placed a new order under the contract, awarded in 2017, for the manufacturing and supply of JYNNEOS (Smallpox and Monkeypox Vaccine, Live, Non-replicating), at a total value of USD 202 million. This new order is in addition to the existing option to manufacture approximately 13 million freeze-dried doses worth USD 299 million that the Company expects to start manufacturing in 2022 and revenue recognize following approval by the U.S. Food and Drug Administration (FDA) of this vaccine formulation.

The contract expansion covers two years of performance and includes the manufacturing of additional bulk vaccine and the supply of up to 1.4 million doses of liquid frozen JYNNEOS. Most of these liquid frozen doses will be manufactured at Bavarian Nordic’s new fill and finish facility, bringing the commercial production of both the liquid frozen and freeze-dried vaccine formulations in-house. This is the first order from the U.S. Government following the approval of JYNNEOS by the FDA in September 2019, which will ensure the availability of a licensed, non-replicating smallpox vaccine in the U.S. Strategic National Stockpile (SNS) for potential use by first-line responders.

While the first USD 106 million of the contract has been secured, with the majority being recognized as income in 2020, the second part is expected to be exercised during 2021. Based on this, Bavarian Nordic is able to reaffirm its financial guidance for 2020 with expected revenues of approximately DKK 1,900 million and an EBITDA of approximately DKK 675 million. The significant value of this order will compensate for the increased uncertainties from the COVID-19 situation in other parts of the business.