Novavax Shares Plunge as FDA Halts COVID-19 and Flu Vaccine Trials

The FDA has suspended clinical trials for Novavax's COVID-19 and influenza combination vaccine, along with its standalone flu vaccine, due to a serious adverse event—motor neuropathy—reported in a Phase II trial participant outside the U.S.[1][2]. This suspension resulted in a significant drop in Novavax shares by up to 20% and poses a risk to the company's plans to initiate Phase III trials[2]. Despite the hold affecting the combination and flu vaccines, Novavax's standalone COVID-19 vaccine remains unaffected[1].