Global biotech powerhouse Moderna has reached a landmark settlement with Arbutus Biopharma Corporation and Genevant Sciences GmbH, resolving all ongoing litigation worldwide—including disputes in the US District Court for the District of Delaware.
The agreement settles all legal claims related to Spikevax and mRESVIA, giving Moderna a clear path forward for its infectious disease portfolio, including mNEXSPIKE, mCOMBRIAX, and its future vaccine pipeline, with no future royalties owed. Moderna will pay a lump sum of $950 million in the third quarter of 2026.
Under the settlement, Moderna will appeal to the Federal Circuit to assert that its government-contractor immunity limits liability under federal law. If Moderna prevails, no additional payments will be required. If liability is upheld, Moderna has agreed to pay up to $1.3 billion within 90 days, depending on the court’s ruling. Should Moderna ultimately prevail on further proceedings, Arbutus and Genevant will refund the full payment plus interest.
Moderna plans to record the $950 million settlement charge in Q1 2026, but anticipates no additional charges related to the Section 1498 proceedings, which it says are “not probable.”
The company expects to end 2026 with $4.5–$5.0 billion in cash and cash equivalents, plus access to $900 million under its existing credit facility—totaling projected liquidity of $5.4–$5.9 billion.
“Resolving this legacy matter from our pandemic response removes uncertainty and allows us to turn our full focus to Moderna's exciting near-term future,” said CEO Stéphane Bancel.
“In 2026, we will return to revenue growth and end the year with a strong balance sheet, with more than $5 billion in liquidity, as we drive toward breakeven in 2028. This year we also expect the approval of our flu plus COVID combination and standalone flu vaccines, and several highly anticipated therapeutic clinical trial results in cancer and in rare disease. We remain focused on driving growth by delivering transformative medicines to patients.”
Moderna emphasized that it continues to defend its intellectual property aggressively, including affirmative claims against other companies such as Pfizer and BioNTech. The company remains confident that its IP assets outweigh liabilities across its portfolio of litigation.
