On Friday, Italian pharma company Recordati S.p.A agreed to acquire the global rights to Enjaymo (sutimlimab) from Sanofi SA (NASDAQ:SNY) for $825 million as an upfront payment and additional commercial milestone payments of up to $250 million.
Enjaymo, a humanized monoclonal antibody, is the only approved targeted product for cold agglutinin disease (CAD), a rare autoimmune disorder characterized by the premature destruction of red blood cells (hemolysis).
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The FDA approved the drug in 2022. Administered as chronic IV treatment.
Enjaymo generated approximately 100 million euros ($109.70 million) in revenue over the last 12 months as of August 2024 and is expected to generate revenue of over 150 million euros in fiscal 2025, with peak sales potential of 250 million-300 million euros, more than double current levels.
Subject to the closing date, Recordati expects minimal revenue contribution in 2024. The transaction is expected to close by the end of 2024.
The transaction is expected to be immediately accretive at the EBITDA level, with the margin above the current Rare Diseases average as of 2025.
The deal will be funded by existing cash and new committed bank debt facilities. Net debt is expected to be approximately 2.4 – 2.5x EBITDA (Pro-forma) at the end of 2024, de-leveraging to less than 2.0x EBITDA at the end of 2025, assuming no additional business development transactions.
In September, Sanofi agreed to make a $27 million strategic investment in Ventyx Biosciences Inc. The company also agreed to grant Sanofi an exclusive right of first negotiation with respect to certain VTX3232 program rights.
Price Action: SNY stock is up 0.31% at $55.71 at last check Friday.
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