Drug development company Biota Holdings Ltd
(ASX:BTA) has been awarded a $231 million contract from the US Department of Health and Human Services to develop Laninamivir.
Laninamivir is an influenza antiviral and Biota says that, unlike vaccines, it has the ability to treat an influenza infection and can also be used preventatively.
Biota says the contract is fully funded over an estimated five year period and is designed to provide US based manufacturing and clinical data to support a New Drug Application for the product to the US Food and Drug Administration.
CEO Peter Cook says the contract will held advance the introduction of Laninamivir and enable the company to significantly develop its business in America.
Laninamivir is currently approved for sale in Japan and was launched in October 2010.
Biota Holdings moved from a profit to a loss of almost $16 million in the six months to 31 December 2010.
