Pharmaceutical giant Sanofi has agreed to acquire Vigil Neuroscience.
By taking the neurodegenerative disease-focused biotech under its wing, Sanofi will gain access to Vigil's lead candidate VG-3927 — expanding its neurology pipeline.
The TREM2 agonist is soon entering Phase 2 clinical trials in patients with Alzheimer's disease, and is expected to offer a neuroprotective function via its interactions with microglial cells.
This follows Sanofi's recent investments of at least $20bn into its US R&D and manufacturing.
By acquiring Vigil Neuroscience, Sanofi will bolster its presence in the neurology space, which is one of the company's key focus areas.
In June 2024, Sanofi made a $40 million strategic investment in Vigil that included the exclusive right of first negotiation for an exclusive license, grant, or transfer of rights to research, develop, manufacture and commercialise VG-3927.
Through the acquisition transaction, Sanofi will acquire all outstanding common shares of Vigil for $8 per share in cash at closing, representing an equity value of approximately $470 million on a fully diluted basis.
Under the terms of the agreement, Vigil's second molecule programme, VGL101, will remain under its jurisdiction.
“This acquisition is fully supporting Sanofi’s strategic focus on neurology and on advancing science and leveraging our expertise in immunology to solve areas of critical unmet need," noted Houman Ashrafian, Head of Research and Development at Sanofi.
"TREM2 represents a compelling target at the intersection of immune dysregulation and neurodegeneration, particularly in people living with Alzheimer’s because they face devastating cognitive decline with limited treatment options," he added.
“We look forward to joining forces with Sanofi's team to leverage Sanofi’s resources, broad platform and far-reaching network to fully unlock and accelerate the development of VG-3927 for the potential treatment of Alzheimer’s disease – a devastating disease with significant unmet need," concluded Ivana Magovčević-Liebisch, President & CEO of Vigil.
The transaction is predicted to close in Q3 2025.