Shionogi secures $375M from HHS for Covid-19 preventive drug development

22 January 2025
After experiencing a setback with its Covid-19 medication in a Phase 3 trial last year, Shionogi has made a significant stride in its drug development efforts. On Thursday, the company was awarded $375 million by the U.S. Department of Health and Human Services (HHS) to develop a new preventive treatment for Covid-19. This drug is specifically designed for individuals who are immunocompromised. Utilizing protease inhibitor technology, the medication aims to halt the replication of the virus, according to a statement from the HHS' Administration for Strategic Preparedness and Response.

Part of the larger $5 billion initiative known as Project NextGen, this funding aims to fill a critical gap in the availability of therapies that can prevent severe outcomes from Covid-19. Shionogi has announced its intentions to submit an investigational new drug application within the United States by the end of the year and to commence Phase 1 clinical trials shortly thereafter.

In the previous year, Shionogi faced challenges with its antiviral drug, ensitrelvir, which did not meet the primary objectives during a Phase 3 clinical trial conducted in May. This occurred just two months after the drug had received full approval in Japan. Despite this setback, Shionogi reported in October that ensitrelvir had demonstrated a statistically significant reduction in the proportion of patients who developed symptomatic infections within 10 days of exposure to Covid-19 from household contacts, compared to a placebo group.

The new funding and the development of a preventive drug reflect an important pivot for Shionogi as it seeks to contribute to the global fight against Covid-19. The company's use of protease inhibitor technology represents a promising approach, potentially offering additional protection for those with compromised immune systems, who are at higher risk for severe Covid-19 outcomes. The success of this initiative could provide a much-needed preventive option for a vulnerable population that continues to face significant health risks from the ongoing pandemic.

Project NextGen, under which this award falls, is a comprehensive effort to advance the development of next-generation Covid-19 therapeutics and vaccines. By providing financial support and resources for innovative research, the project seeks to enhance the arsenal of tools available to combat the virus, especially for those who remain at greatest risk. Shionogi's involvement in this project underscores the importance of international collaboration and innovation in addressing the challenges posed by Covid-19.

As Shionogi moves forward with its plans in the United States, the pharmaceutical company is poised to make a meaningful impact on public health. The forthcoming investigational new drug application and subsequent clinical trials will be closely watched by the medical community and public health officials, as the outcomes could influence future strategies for managing Covid-19, particularly in immunocompromised populations. The journey from drug development to market is complex and multifaceted, and Shionogi's latest endeavors mark a significant milestone in its ongoing commitment to combating this global health crisis.

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