UPDATE 1-RESEARCH ALERT-WBB raises Emergent BioSolutions to buy

April 21 (Reuters) - WBB Securities upgraded Emergent BioSolutions Inc (EBS.N) to "buy" from "hold," saying the market was overestimating a delay faced by the company in a long-awaited government contract for a certain type of anthrax vaccine.

Last week, the U.S. Department of Health and Human Services imposed a delay in the contract and asked the company, along with other bidders, to provide the health regulators with their product development plans for a review in advance of an award.

"While we would expect the pending FDA review to delay any contract awards for two to five months, Emergent in our opinion, remains well positioned to receive a large procurement contract," analyst Daniel Mallin said in a research note. Even in the absence of any contract awards to develop an rPA (recombinant protective antigen) vaccine, the analyst expects the company to continue benefitting from BioThrax anthrax vaccine contract. BioThrax is the only vaccine approved by the U.S. Food and Drug Administration for the prevention of anthrax infection. Shares of the company were up 4 percent at $11.02 in morning trade Tuesday on the New York Stock Exchange. They had earlier touched a high of $11.45. (Reporting by Esha Dey in Bangalore; Editing by Anil D'Silva)