Sanofi shares were hit by two news items yesterday and today. This morning, we learned of the failure of a phase III clinical trial, while yesterday the group announced that it had made a new strategic acquisition. We propose to review these two news with the details of these operations.
First of all and early this morning, the Sanofi group published a press release in order to announce a bad news. The company announced that the PEGASUS phase III trial evaluating rilzabrutinib in the treatment of pemphigus, a rare autoimmune skin disease, had failed to meet its primary endpoint or even secondary endpoints.
In fact, the detailed results published show that the safety profile remained similar to that observed previously and that no new safety signals could be identified. However, Sanofi specifies that it will continue to evaluate the data from this trial and that it plans to present them in detail at a future medical congress.
It should also be noted here that the treatment in question, zilzabrutinib, is also currently in another Phase III clinical trial, this time in the treatment of immune trombocytopenia, as well as a third Phase II trial, this time in the treatment of IgG4 disease.
But that's not all! Indeed, Sanofi explains that this treatment should also be the subject of various other phase II studies in immunological diseases, most of which should begin before the end of 2021.
Sanofi Group also made an interesting announcement during yesterday's session i.e. Wednesday 08 September 2021. Indeed, the group published a press release to announce that it had just completed the acquisition of the company Kadmon for a total amount of 1.9 billion euros.
In the press release published yesterday morning, the French group explains that it has signed a definitive merger agreement with this company in the biopharmaceutical sector.in a press release published yesterday morning, the French group explains that it has just signed a definitive merger agreement with this company in the biopharmaceutical sector, which is part of its strategy to grow its general medicine business.
This transaction will allow Sanofi to add Rezurock to its transplantation portfolio without delay.
As part of the financial transaction, shareholders who hold Kadmon shares will receive $9.50 per share. This represents a total cash transaction of EUR 1.9 billion.
At present, as far as Sanofi's financial and stock market data is concerned, the French laboratory has a P/E close to 12 times for the year 2021 and a yield of nearly 4%.