USA > France based Sanofi is set to acquire Bioverativ Inc. for approximately $11.6 billion

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For $105 per share in cash, Sanofi is set to acquire all the outstanding shares of Bioverativ representing an equity value of approximately $11.6 billion. Both biopharmaceutical companies focus on therapies for hemophilia and other rare blood disorders and the transaction was unanimously approved by Board of Directors of both Sanofi and Bioverativ.

According to Olivier Brandicourt, Sanofi’s Chief Executive Officer

“With Bioverativ, a leader in the growing hemophilia market, Sanofi enhances its presence in specialty care and leadership in rare diseases, in line with its 2020 Roadmap, and creates a platform for growth in other rare blood disorders.  Together, we have a great opportunity to bring innovative medicines to patient’s worldwide, building on Bioverativ’s success in driving new standards of care with its extended half-life factor replacement therapies. Combined, we will continue to leverage our scientific know-how, disciplined focus and development expertise that best position us to drive value for our shareholders and create breakthrough treatments for patients.”

Bioverativ Chief Executive Officer, John Co also commented the following about the acquisition:

“Bioverativ was created to bring meaningful progress to people living with hemophilia and other rare blood disorders, and I am extremely proud of the accomplishments we’ve made toward that mission over the past year. We have expanded upon the success of Eloctate and Alprolix, which are making a difference in the lives of people with hemophilia every day, and built a pipeline of novel programs for people with rare blood disorders. Sanofi brings proven capabilities and a global infrastructure, which we believe will help to more rapidly expand access to our medicines globally and further our mission of transforming the lives of people with rare blood disorders. Our Chairman, Brian Posner, our entire Board and I strongly believed our spin-off would create meaningful value for shareholders, and this transaction delivers tremendous value for the shareholders who have invested in and supported our mission.”

Hemophilia represents the largest market for rare diseases and is expected to grow above 7% [3] per year through 2022 which is approximately $10 billion in annual sales and 181,000[2] people affected worldwide.

Sanofi plans to finance the transaction, which is expected to close within three months, with a combination of cash and through new debt to be raised. The transaction is subject to the satisfaction or waiver of customary closing conditions and is not subject to any financing conditions.

Sanofi’s exclusive financial advisor for the transaction was Lazard while Guggenheim Securities and J.P. Morgan Securities LLC are acting as financial advisors to Bioverativ. Sanofi legal counsel was Weil, Gotshal & Manges LLP while Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal counsel to Bioverativ.

About Sanofi

Founded in 1973 and headquartered in France, Sanofi is a global biopharmaceutical company focused on human health. Sanofi employs more than 100000 people across 100 countries and it operates in two main segments namely, Pharmaceuticals and Vaccines
About Bioverativ
Founded in 2016 with 460 employees, Bioverativ is a U.S based company that , focuses on the research, discovery, development, and commercialization of therapies for the treatment of hemophilia and other blood disorders in the United States, Japan, and internationally.

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