Sanofi to Acquire Provention Bio for Around $2.9 Billion

By Cecilia Butini

Sanofi SA said Monday that it has entered into an agreement to acquire U.S.-based biopharmaceutical company Provention Bio, Inc. for around $2.9 billion, or $25 a share.

The French pharma major said that the agreement's conditions include the tender of a majority of Provention Bio's outstanding shares, including shares that Sanofi already owns.

Once the tender offer is completed, a wholly-owned Sanofi subsidiary will merge with and into Provention Bio, the company said. Then, all the shares that are not tendered in the offer will be converted into the right to receive the same $25 a share in cash offered to Provention Bio shareholders during the offer, Sanofi said.

The company expects to close the transaction in the second quarter of 2023.

The acquisition adds to Sanofi's portfolio a treatment for Type 1 diabetes named TZIELD, which is the first and only approved therapy to delay the onset of stage-3 Type 1 diabetes in adults and children from eight years of age, the company said.

Write to Cecilia Butini at [e-mail]

(END) Dow Jones Newswires

03-13-23 0236ET