Sanofi Reaches $3.7 Billion Deal To Acquire Principia Biopharma

Sanofi CEO Paul Hudson.

Sanofi, the French pharmaceutical giant, has reached a landmark deal to acquire Principia Biopharma, a publicly-traded US-based biotechnology company, for a total cost of $3.7 billion. Sanofi is coughing up $100 per share for all the outstanding shares of Principia to complete the acquisition, which notably comes just two years after Principia debuted on the public markets.

Founded in 2008, Principia Biopharma stayed as a private company for a decade, raising more than $100 million in venture funding along the way. The company took the public markets in 2018 with an initial public offering on the Nasdaq stock exchange that raised more than $100 million for the company.

Principia focuses on treatments and therapies for immune-mediated diseases. The San Francisco-based company ended the second quarter of this year with $50 million in revenue, all of that from collaboration fees from Sanofi, and $316 million in cash on its balance sheet. Sanofi has long been a research and development partner to Principia and is now going even further by snapping up the entire company.






Photo credit: Sanofi

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