Sanofi agreed to acquire US biotech company Principia Biopharma for about US$3.4 billion as the French drugmaker pivots toward innovative therapies to spur growth under new Chief Executive Officer Paul Hudson.
The all-cash deal will see Sanofi taking full control of the company, which focuses on treatments for multiple sclerosis and a range of autoimmune disorders, according to a statement Monday, August 17. Bloomberg reported last month that Sanofi was studying potential acquisitions of US biotechnology firms, including Principia.
Sanofi said in a statement that it would pay for the acquisition out of its cash reserves and would offer US$100 per share to Principia’s shareholders, which represents a roughly 10% premium from Friday’s closing price, reported The Financial Times.
If the acquisition is completed as planned by the end of 2020, Sanofi would save on those payments.
Full Content: Financial Times
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