Emergent BioSolutions [EBS] has acquired the assets and rights to a recombinant protective antigen (rPA) anthrax vaccine product candidate and related technology from VaxGen, Inc. [VXGN] for $2 million plus a potential additional $8 million in milestone payments. The arrangement also includes specified percentages of future net sales. VaxGen’s original $877 million contract to develop and produce a next-generation anthrax vaccine was terminated by the Department of Health and Human Services in December 2006 due to stability issues with the vaccine. Since then VaxGen has been seeking to sell or license its technology. Emergent BioSolutions currently supplies BioThrax to HHS and the U.S. military as the only Food and Drug Administration-licensed vaccine to prevent the infection of anthrax. In addition to BioThrax and rPA 102– the vaccine candidate acquired from VaxGen, Emergent has AVP-21D9, a human monoclonal antibody product candidate being developed as an intravenous treatment for patients who present symptoms of anthrax disease, and AIG, a polyclonal anthrax immune globulin product candidate. Emergent says that recent improvements to the rPA vaccine related to its stability suggest that it will be a leading candidate for award under a recent HHS Request for Proposals for a next-generation anthrax vaccine.