(CercleFinance.com) – Sanofi announced on Thursday that it had sold its American partner Regeneron the exclusive licensing rights to the cancer drug Libtayo on a global scale.
Under the terms of the agreement, the American biopharmaceutical group will receive an upfront payment of $900 million, along with royalties of 11% on global net sales of the drug.
Sanofi will also be eligible for a milestone payment linked to the achievement of regulatory targets of $100 million, as well as sales-related payments of up to $100 million over the next two years. .
The collaboration and licensing agreement entered into by the two groups in 2015 has so far provided for the equal sharing of profits generated by Libtayo sales.
While Sanofi and Regeneron jointly marketed this product in the United States, Sanofi was solely responsible for its marketing elsewhere in the world.
The completion of this transaction, which remains subject to the authorizations of the competition authorities, should be final in the third quarter of 2022.
Regeneron has also planned to increase from 10% to 20% the share of profits returned to Sanofi as reimbursement for development expenses financed by Sanofi as part of their collaboration in the field of antibodies.
On the Paris Stock Exchange, Sanofi shares rose 1% on Thursday following this announcement, while Regeneron shares were expected to drop by 0.1% at the opening of New York.
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