The federal government in Germany is putting up EUR 300 million to acquire a 23 percent share of biotech company CureVac.
The firm from the southwestern German city of Tübingen is one of the most high-profile enterprises in the world currently researching a vaccine against the coronavirus.
“CureVac’s technology has the potential to develop and market vaccines and therapeutic treatment options for many people,” said Germany Minister of Economic Affairs and Energy Peter Altmaier at the press conference announcing the decision. “The federal government is acquiring a stake in this very promising company in the expectation that it will accelerate developments and give CureVac the financial ability to completely exploit the potential of its technology.”
CureVac made headlines early in 2020 after rumors that the US government was looking to acquire the company. The German government’s investment follows upon the European Investment Bank awarding EUR 100 million in financing to BioNTech, another German firm working on a corona vaccine.
“We now have the security that CureVac will remain a German company that is internationally successful,” Altmaier added.
The acquisition comes amidst a massive German initiative to support the medical response to the coronavirus pandemic.
“The investment is part of the recent ‘Corona Economic Stimulus and Future Technologies Package’ by the German government to bolster the German healthcare sector,” says Germany Trade & Invest (GTAI) Director of Chemicals and Health Marcus Schmidt. “The program was launched on June 3, 2020 and includes €750 million for the development of vaccines in Germany and through the international vaccine initiative CEPI.”
“Another € 1 billion was earmarked for the local production of medicines and medical supplies including personal protective equipment,” Schmidt adds. “The package also encompasses a €4 billion program for public health and €3 billion to upgrade patient care in hospitals.”