Retractable Technologies (NYSE:RVP) announced that it has received a government contract worth more than $27.3 million for its syringes.
The new contract is the third multi-million-dollar deal that the U.S. Department of Health & Human Services (HHS) has awarded to the Little Elm, Texas-based company since February 2020. The company landed an $83.8 million contract with HHS in February 2020 and a $54.2 million contract from the agency in February 2021.
Retractable Technologies also received a federally backed, forgivable $1.36 million Paycheck Protection Program loan in April 2020 and has applied for forgiveness, according to an SEC filing.
The new contract will enable the company to install two additional automated low dead-space safety syringe assembly lines at its Texas plant. The two additional assembly lines will enable a 75% increase in U.S. production capacity of the syringes, according to the company.
Low dead-space syringes maximize dose efficiency and allow for 20% more COVID-19 vaccine doses compared to non-low dead-space syringes, the company added.
