Emergent BioSolutions Dives as U.S. Biodefense Contract Ends (2)

Emergent BioSolutions Inc. shares fell in post-market trading after termination of a years-long partnership with the U.S. government to set aside manufacturing capacity to tackle public health and pandemic threats.

The Gaithersburg, Maryland-based company reached an agreement with the U.S. Department of Health and Human Services to end its involvement in a biodefense and pandemic preparedness program called the Centers for Innovation in Advanced Development and Manufacturing, or CIADM, according to a statement.

Shares of Emergent fell 16% as of 6:50 p.m. Thursday.

The manufacturer’s relationship with the government has been strained since early 2021 after its staff confused ...