Sanofi has agreed to acquire a mRNA therapeutics firm Translate Bio to advance the use of messenger RNA (mRNA) technology across vaccines and therapeutics development.
Under terms of the deal, the company will acquire Translate Bio’s all outstanding shares for $38.00 per share in cash, which represents a total equity value of about $3.2bn.
Sanofi and Translate Bio have been working together since June 2018, when they signed a collaboration and exclusive license agreement to develop mRNA-based vaccines.
Later in 2020, the companies expanded the agreement to broadly address current and future infectious diseases.
At present, Sanofi and Translate have two ongoing mRNA vaccine clinical trials under the collaboration.
These trials include Phase I/II COVID-19 vaccine study with results anticipated in the third quarter of this year and the mRNA seasonal influenza vaccine Phase I trial, which is expected to release in the fourth quarter of the year.
Sanofi CEO Paul Hudson said: “Translate Bio adds an mRNA technology platform and strong capabilities to our research, further advancing our ability to explore the promise of this technology to develop both best-in-class vaccines and therapeutics.
“A fully owned platform allows us to develop additional opportunities in the fast-evolving mRNA space. We will also be able to accelerate our existing partnered programs already under development.
“Our goal is to unlock the potential of mRNA in other strategic areas such as immunology, oncology, and rare diseases in addition to vaccines.”
Subject to the satisfaction of customary closing conditions, Sanofi expects to close the deal in Q3 2021.
The company stated that the acquisition of Translate Bio builds on its recent announcement to establish its vaccines mRNA Center of Excellence with an investment approximately €400m to accelerate development and delivery of next-generation vaccines.