‘Friendly Breakup’: Sanofi And Regeneron Agree Equity Revamp

Pair Say Stock Move Will Not Hurt Their Drug Development Pact

Sanofi to sell most of its Regeneron stake, with much of it being re-purchased by Regeneron, but both stressed the move would not hurt their long established and very profitable drug-development collaboration.

Sanofi selling Regeneron stake, Regeneron repurchasing $5bn of own shares. • Source: Shutterstock

In a mutually agreed set of stock transactions, Sanofi will offload most of its 20.6% stake in Regeneron Pharmaceuticals Inc. while the US pharma will buy much of it back as part of CEO Paul Hudson’s plan to generate cash and re-vamp the French drug maker. Both said the co-ordinated equity exercise would not hurt their successful and lucrative drug development partnership.

The two companies have had a research and marketing partnership since 2003, which led Sanofi to build up an equity...

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