US orders more doses of COVID treatment from VIR Biotechnology

Vir Biotechnology (VIR.US) announced today that the US government will buy an additional 600,000 doses of sotrovimab, its Covid-19 treatment developed together with British partner GlaxoSmithKline (GSK.UK). The extra doses will be delivered in the first quarter of 2022 to the US, which has an option to purchase more in the second quarter. 

Including today's announcement, the two companies have agreements for the sale of roughly 1.7 million doses of sotrovimab worldwide. Sotrovimab was granted emergency use authorization by the Food and Drug Administration in May 2021 for treatment of mild to moderate COVID-19 in at-risk adults and children 12 and older. Preclinical data has shown treatment is effective against all COVID-19 variants, including delta and omicron. 

Vir Biotechnology (VIR.US) stock rose nearly 9.0% in premarket, however later in the session bullish momentum faded away. Buyers failed to break above the local resistance zone at $35.30 which is marked with 78.6% Fibonacci retracement of the last upward wave and price pulled back to recent lows at $32.25. Source: xStation5