PARIS (dpa-AFX) - Evotec AG (EVTCY.PK, EVOTF.PK) said that it signed a transaction agreement with Sanofi to integrate Sanofi's infectious disease unit into its organisation. Evotec will also licence-in the majority of Sanofi's infectious disease research portfolio and initiatives.
The transaction will be closed in the coming weeks and remains subject to customary approvals and conditions, including the approval by regulatory authorities in France.
Evotec said it will accelerate the infectious disease research pipeline development and initiate new open innovation R&D initiatives in anti-infectives.
Going forward, Evotec will engage in open collaborations with other pharmaceutical and biotechnology companies, foundations, academia and government agencies to further accelerate research in infectious diseases.
The initial focus areas will be on antimicrobial resistance or 'AMR' and superbug infections, Tuberculosis and Malaria, as well as the creation of novel antiviral therapies with new mechanisms of action.
As part of the transaction, Sanofi will pay 60 million euros upfront and will provide Evotec with additional, significant long-term funding to ensure the progression of the highly innovative anti-infectives portfolio.
Sanofi noted that it will retain certain option rights on the development, manufacturing and commercialisation of the anti-infective products resulting from the licensed assets.
As part of the transaction, Evotec will add and integrate 100 employees into its global drug discovery and development operations. The positions from Sanofi will be transferred with certain, specific long-term commitments of employment. Evotec will continue to operate in Lyon, taking advantage of the location's scientific and medical excellence in infectious diseases.
The transaction will result in increased operating income as well as increased R&D expenditure and will be slightly accretive to Evotec's EBITDA for the next five years.
Copyright RTT News/dpa-AFX
© 2018 AFX News
