Why Jim Cramer Says U.S. AstraZeneca Investment 'Doesn't Mean Much'

AstraZeneca is getting $1.2 billion from the U.S. government to help manufacture its potential COVID-19 vaccine. Here's what Jim Cramer thinks.
Publish date:

AstraZeneca has received more than $1 billion from the U.S. government to boost the manufacturing of an experimental coronavirus vaccine from the University of Oxford.

At the end of February, the company announced that it was teaming up with the University of Oxford to develop a vaccine, with AstraZeneca responsible for the distribution and manufacturing of the vaccine worldwide.

The company said it received the funding from the U.S. Biomedical Advanced Research and Development Authority for the development, production, and delivery of the vaccine.

The development program, which will kick off in the fall, includes a Phase 3 clinical trial with 30,000 participants and a pediatric trial.

AstraZeneca said Thursday it has concluded the first agreements for at least 400 million doses and has secured total manufacturing capacity for a billion doses. The company has said it would begin the first deliveries in September.

Jim Cramer said that the United States is giving money to many companies that are trying to create a COVID-19 vaccine so the move "doesn't mean much."

Watch the video above to see what else he has to say.

You can follow Jim Cramer and Katherine Ross on Twitter at @JimCramer and @byKatherineRoss. Read more from Katherine Ross here.

Watch More of the Latest Videos on TheStreet and Jim Cramer