Waltham, Mass.-based Bioverativ specializes in therapies for hemophilia and other rare blood disorders. Sanofi said Monday that the addition of Bioverativ will boost its presence in specialty care and leadership in rare diseases as well as provide an expansion platform in the growing hemophilia treatment market.
In 2016, Bioverativ generated $847 million in sales and $41 million in royalties. Its Eloctate and Alprolix therapies for the treatment of hemophilia A and B, respectively, marked the first major advancements in the hemophilia market in nearly two decades when launched, Sanofi noted.
Bioverativ currently markets the two products in the United States, Japan, Canada and Australia and plans to expand into additional geographies. The therapies are also commercialized in the European Union and other countries under a collaboration agreement.
“With Bioverativ, a leader in the growing hemophilia market, Sanofi enhances its presence in specialty care and leadership in rare diseases, in line with its 2020 road map, and creates a platform for growth in other rare blood disorders. Together, we have a great opportunity to bring innovative medicines to patients worldwide, building on Bioverativ’s success in driving new standards of care with its extended half-life factor replacement therapies,” stated Olivier Brandicourt, chief executive officer of Sanofi. “Combined, we will continue to leverage our scientific know-how, disciplined focus and development expertise that best position us to drive value for our shareholders and create breakthrough treatments for patients.”
The pipeline for Bioverativ, a spin-off from Biogen’s hemophilia business, includes a program in Phase 3 testing for cold agglutinin disease as well as early-stage research programs and collaborations in hemophilia and other rare blood disorders, including sickle cell disease and beta thalassemia. Sanofi said its research-and-development organization will support Bioverativ in bringing these therapies to patients faster.
“Bioverativ was created to bring meaningful progress to people living with hemophilia and other rare blood disorders, and I am extremely proud of the accomplishments we’ve made toward that mission over the past year,” commented Bioverativ CEO John Cox. “We have expanded upon the success of Eloctate and Alprolix, which are making a difference in the lives of people with hemophilia every day, and built a pipeline of novel programs for people with rare blood disorders. Sanofi brings proven capabilities and a global infrastructure, which we believe will help to more rapidly expand access to our medicines globally and further our mission of transforming the lives of people with rare blood disorders. Our chairman, Brian Posner, our entire board and I strongly believed our spin-off would create meaningful value for shareholders, and this transaction delivers tremendous value for the shareholders who have invested in and supported our mission.”
Sanofi said $105-per-share cash deal has been unanimously approved by both companies’ boards of directors. Pending customary closing conditions, the transaction is expected to close within the next three months.
Estimated at $10 billion in annual sales and 181,000 people affected worldwide, hemophilia represents the largest market for rare diseases and is projected to grow above 7% per year through 2022, according to Sanofi.