"Sanofi Proposes Acquisition of US Biotech Company for Joint Vaccine Development"

(Photo by Bloomberg News)

[Asia Economy Reporter Yujin Cho] French pharmaceutical company Sanofi reportedly proposed an acquisition of the American biotechnology company Translate Bio, according to major foreign media on the 2nd (local time).

Translate Bio, a next-generation messenger ribonucleic acid (mRNA) specialist company, held a board meeting on the same day to discuss the acquisition proposal, sources said.

Specific details such as the acquisition amount have not been disclosed. Translate Bio, listed on the NASDAQ, saw its stock price surge nearly fivefold from the $7 range before and after the COVID-19 pandemic to $30, with a market capitalization of approximately $2.2 billion (as of the previous day's close).

Sanofi has been collaborating with Translate Bio since 2018 and has jointly developed an mRNA-based COVID-19 vaccine since last year. The vaccine under development is expected to release Phase 3 clinical trial results in the third quarter of this year.

The European Medicines Agency (EMA) announced on the 20th of last month that it would begin a rolling review of Sanofi's COVID-19 vaccine.

The two companies have also been developing mRNA vaccines for various infectious diseases, and in June, they initiated a Phase 1 clinical trial for an mRNA vaccine targeting seasonal influenza.

Both Sanofi and Translate Bio declined to comment on reports regarding the acquisition efforts.