The settlement resolves all enforcement actions involving Moderna’s use of Genevant’s and Arbutus’ LNP delivery technology in its COVID-19 vaccine Spikevax.
- Moderna said that the settlement provides certainty going forward for the company’s entire infectious disease portfolio and its future vaccine pipeline with no future royalties owed.
- Under the deal, Moderna will pay Arbutus and Genevant $950 million in the third quarter of 2026.
- The remaining $1.3 billion payout is subject to further litigation.
Shares of vaccine maker Moderna (MRNA) rallied after hours on Tuesday after the company announced that it has entered into an up to $2.25 billion settlement with Genevant Sciences and Arbutus Biopharma.
The settlement resolves all enforcement actions involving Moderna’s use of Genevant’s and Arbutus’ Lipid Nanoparticle (LNP) delivery technology in its COVID-19 vaccine Spikevax as well as respiratory syncytial virus (RSV) vaccine mRESVIA. The company said that the settlement provides certainty going forward for the company’s entire infectious disease portfolio and its future vaccine pipeline with no future royalties owed.
Shares of Arbutus fell 8% after hours at the time of writing while shares of Genevant’s parent Roivant Sciences gained nearly 1%. Meanwhile, shares of MRNA rallied 11%.
Settlement Agreement
Under the deal, Moderna will pay Arbutus and Genevant $950 million in the third quarter of 2026. The remaining $1.3 billion is subject to further litigation. If Moderna prevails in the litigation, no further payments will be due but if it doesn't, it will have to make an additional payment of up to $1.3 billion.
"Resolving this legacy matter from our pandemic response removes uncertainty and allows us to turn our full focus to Moderna's exciting near-term future," said Moderna CEO Stéphane Bancel.
The company now expects to end the year with $4.5 to $5.0 billion in cash and cash equivalents. The total projected liquidity available to the company at the end of 2026 will be $5.4 to $5.9 billion, it added.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around MRNA rose from ‘bearish’ to ‘bullish’ territory over the past 24 hours, while message volume remained at ‘low’ levels.
MRNA shares have gained nearly 65% over the past 12 months. Meanwhile, ABUS and ROIV added 37% and 174%, respectively.
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