Sanofi to buy antibody maker Kymab in US$1.45b deal
[PARIS] Sanofi agreed to buy the UK monoclonal antibody developer Kymab in a deal worth as much as US$1.45 billion to gain experimental medicines for inflammation diseases as well as cancer.
The French drugmaker will obtain global rights to KY1005, a human monoclonal antibody with a new mechanism of action and the potential to treat a variety of disorders, the Paris-based company said in a statement.
Sanofi has been hunting for acquisitions to bolster its pipeline, and the deal continues the company's pivot toward treatments targeting the immune system. The Kymab agreement comes after Sanofi agreed to spend US$3.4 billion for US biotech company Principia Biopharma Inc, which developed a pipeline of drugs known as BTK inhibitors to treat autoimmune disorders.
Under the terms of the transaction, Sanofi will pay US$1.1 billion upfront and up to US$350 million upon achievement of certain milestones. The Paris-based company said it plans to finance the transaction with cash.
Much like Sanofi's blockbuster Dupixent, Kymab's KY1005 is starting out by showing results in a severe form of eczema called atopic dermatitis but it may work in a range of inflammatory ailments.
The drug has the potential to re-balance the immune system without suppressing it, Sanofi said. For now, the medicine has showed it works better than a placebo in controlling atopic dermatitis in the intermediate stage of clinical trials.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
With the purchase of Cambridge, England-based Kymab, Sanofi will also gain an experimental monoclonal antibody cancer treatment that's in early clinical trials as a monotherapy and in combination with an immuno-therapy as well as access to new antibody technologies and research capabilities.
BLOOMBERG
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Consumer & Healthcare
France's Casino supermarket chain to axe up to 3,200 jobs
Prada outshines rivals with 16% revenue lift boosted by Miu Miu
Toymaker Hasbro posts quarterly profit beat, slower sales decline
Hilton lifts 2024 profit forecast on international travel demand
China knockoff raid jolts a global throng of fake-fashion influencers
Roche cuts pipeline after research setbacks and sales drop