Sanofi Strikes Strategic Deal With Cheplapharm to Hand Over 20 Mature Medicines and Three Plants

Sanofi announced a $925 million flu vaccine facility in Toronto, with partial funding from the federal government ($55 million) and the City of Toronto. The project is expected to create 300 jobs and enhance local vaccine supply. Premier Doug Ford emphasized Ontario's investment philosophy and the importance of domestic vaccine production.

Sanofi (SNY) will transfer 20 mature drugs and 3 plants to Cheplapharm in exchange for a 26.4% stake, aiming to complete the deal by Q3 2027. The transaction is not expected to impact Sanofi's 2026 financial guidance.

Cheplapharm, advised by Latham & Watkins, will acquire 20 medicines and three manufacturing sites from Sanofi. Sanofi will gain a 26.4% stake in Cheplapharm, with the deal expected to close in Q3 2027. Cheplapharm anticipates becoming the fifth-largest German pharma company upon completion.

Sanofi opened a new flu vaccine facility in Canada, the largest biomanufacturing investment in the country's history. The $925 million project, partly funded by government partnerships, will produce Sanofi's Fluzone® High-Dose vaccine and enhance pandemic preparedness.

Dupilumab reduced moderate/severe COPD exacerbations across all seasons, with the largest reductions in summer and spring. Data from phase 3 trials showed a 31% decrease in exacerbation rate vs. placebo. According to researchers, dupilumab's efficacy is consistent year-round, providing clinicians with further confidence in its use for eligible COPD patients.

GSK agreed to acquire a T cell-engager from Chimagen for up to $750M, targeting multiple myeloma. Sanofi partnered with Cheplapharm to transfer 20 mature medicines and 3 sites, receiving a 26.4% stake. GSK's deal may enter trials in 2027. Sanofi's transaction is expected to complete by Q3 2027.