Sanofi Acquires U.S. Biotech Firm Blueprint for $9.1 Billion

PARIS: French pharmaceutical firm Sanofi has reached an agreement to acquire US-based Blueprint Medicines Corporation, a biopharmaceutical company focusing on systemic mastocytosis, a rare immune disorder, the companies announced on Monday. As part of the acquisition agreement, Sanofi will offer $129.00 per share in cash, equating to an equity value of around $9.1 billion. The acquisition "marks a strategic advancement in our rare and immunology portfolios." "It improves our pipeline and speeds up our transition to becoming the top immunology company globally," stated Sanofi CEO Paul Hudson. 

The agreement will enhance Sanofi's portfolio with the rare immunology medication Ayvakit/Ayvakyt (avapritinib), which is approved in both the US and EU, along with a promising pipeline of advanced and early-stage immunology treatments. According to the companies, Blueprint’s established presence with allergists, dermatologists, and immunologists is anticipated to strengthen Sanofi’s expanding immunology pipeline. Ayvakit/Ayvakyt is the sole authorised treatment for advanced and indolent systemic mastocytosis, a rare immunological condition marked by the buildup and activation of abnormal mast cells in the bone marrow, skin, gastrointestinal tract, and various organs.

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The acquisition will additionally introduce elenestinib, an advanced treatment for systemic mastocytosis, along with BLU-808, a highly selective and effective oral wild-type KIT inhibitor that could address a wide array of diseases in immunology. In addition to $129.00 per share in cash upon deal completion, Blueprint shareholders will receive one non-tradeable contingent value right (CVR) that grants the holder two potential milestone payments of $2 and $4 per CVR, contingent upon the attainment of future development and regulatory milestones for BLU-808. The overall equity worth of the deal, factoring in possible CVR payments, amounts to about $9.5 billion on a fully diluted basis. Hudson stated that the agreement aligns with recent purchases of other early-stage drugs that continue to be Sanofi's primary focus and noted that Sanofi still has significant resources available for additional acquisitions.