France's Sanofi to buy Synthorx for US$2.5 billion

France's Sanofi to buy Synthorx for US$2.5 billion

The logo of Sanofi is seen at the company's research and production centre in Vitry-sur-Seine,
The logo of Sanofi is seen at the company's research and production centre in Vitry-sur-Seine, France, Aug 6, 2019. (Photo: Reuters/Charles Platiau)

PARIS: France's Sanofi said on Monday (Dec 9) it had agreed to buy Synthorx in a cash deal worth around US$2.5 billion as it seeks to beef up its immuno-oncology pipeline.

Under the terms of the merger agreement, Sanofi has offered to buy all of the outstanding shares of Synthorx common stock for US$68 per share in cash.

The US$68 per share acquisition price represents a 172per cent premium to Synthorx’s closing price on Dec 6, 2019.

"This acquisition ... is aligned with our goal to build our oncology franchise with potentially practice-changing medicines and novel combinations," Sanofi CEO Paul Hudson said in a statement.

Sanofi is conducting a broad strategy review under new chief executive Paul Hudson, who will give some initial pointers on which businesses he wants to focus on at an investor day on Dec 10.

Source: Reuters/zl

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