KUALA LUMPUR (April 9): UCrest Bhd has signed a memorandum of understanding (MoU) with Russian Direct Investment Fund (RDIF) to identify and manage contract manufacturers for the production of the Sputnik V vaccine for RDIF.

RDIF is a Russian sovereign wealth fund set up in 2011 to co-invest in Russian companies and to attract global investors to invest in the country, according to its official website.

“It is the Russian sovereign wealth fund that is responsible for the commercialisation of Sputnik V, developed by Gamaleya National Research Institute of Epidemiology and Microbiology,” UCrest said in its filing.

Under the MoU, UCrest — primarily involved in wireless and digital network products and services — is responsible for identifying, arranging and supervising contract manufacturers of Sputnik V in Asia “at various suitable manufacturing facilities”.

"UCrest has been actively involved with RDIF in identifying and qualifying contract manufacturers in Asia and will be transferring the technologies from RDIF and Gamaleya for mass production," the group said.

Managing the contract manufacturers, it said, include the sourcing of materials, coordinating work among manufacturers, getting the necessary approvals to achieve the production, and delivery of needed doses.

RDIF, meanwhile, will be responsible for technology transfer and total purchase of the product.

“RDIF shall purchase from UCrest and is committed to take or pay for the vaccines produced,” the filing said.

UCrest said the arrangement may involve production between 100 million and one billion doses each year. This hinges on its "well-established operations in China, Taiwan and Singapore" and Malaysia, it said.

UCrest chairman and CEO Eg Kah Yee said: "Since the outbreak, we have been actively engaged in various healthcare projects in combating the virus, including tracking of Covid-19 symptoms and intelligent assessment and management of the disease for every user of iMedicTM, including monitoring and management of patients with ventilators and oximeters in hospitals or at home with the digital health platform.”
 
“We plan to make available to everyone who is going to be vaccinated with Sputnik V, to have free access to the iMedic platform to track the symptoms, allergies or side effects and management of the disease for as long as needed, and these data will be very useful in improving the efficacy and also treatment of Covid-19 patients in the future,” he added.

It was reported that RDIF has dwelled into contract manufacturing arrangements for Sputnik V in India, South Korea and Iran, in order to allow Russia to catch up with global demand for the vaccine.

RDIF has also inked similar deals in Brazil and Serbia, which will primarily serve domestic demand, the reports said. Other reports touted Italy to be the first EU country to produce the Russian vaccine come July.

In Malaysia, Pharmaniaga Bhd is undertaking tail-end manufacturing for China’s Sinovac vaccine, namely fill-and-finish.

Meanwhile, the vaccine procurement and distribution activities sanctioned by the Malaysian government, underlined three companies, namely Duopharma Biotech Bhd (Sputnik V), Solution Group Bhd (CanSino) and Pharmaniaga.

Other companies have commenced plans to undertake distribution activities, including Yong Tai Bhd, Bintai Kinden Corp Bhd and Kanger International Bhd. Others have initiated collaboration to conduct clinical trials for other vaccine candidates.

Shares of UCrest rose one sen or 4.08% to close at 25.5 sen today, valuing the group at RM156.12 million.