South Africa’s Aspen signs non-binding agreement with J&J for COVID vaccine license

The Aspen Pharmacare Holdings Ltd. plant in Gqeberha, South Africa, on Monday, Oct. 25, 2021. Aspen Pharmacare opened the southern hemisphere's largest general anesthetics manufacturing line, adding production at the South African plant where it fills and packages the Johnson & Johnson Covid-19 vaccine. Photographer: Waldo Swiegers/Bloomberg via Getty Images
The Aspen Pharmacare Holdings Ltd. plant in Gqeberha, South Africa, on Monday, Oct. 25, 2021. /Getty Images

South Africa’s Aspen Pharmacare on Tuesday signed a non-binding agreement with subsidiary firms of U.S. company Johnson & Johnson as part of its negotiations for a licensing deal to package, market and sell the latter’s COVID-19 vaccine in Africa.

Aspen currently packages J&J’s COVID-19 vaccine at its South African plant under contract, which means it does not have any pricing or distribution power over the product.

Aspen has signed a non-binding term sheet with two of the Janssen Pharmaceutical Companies of J&J that will form the basis for negotiation of a definitive agreement on the manufacture and sale of an Aspen branded COVID-19 vaccine throughout Africa.