Evotec and Sanofi in Exclusive Talks to Create an Evotec-Led Infectious Disease Open Innovation R&D Platform
In support of this platform, Sanofi will licence most of its infectious disease research and early-stage development portfolio and transfer its infectious disease research unit to Evotec. The transaction excludes the vaccine R&D unit and related projects. Evotec will combine its drug discovery and development expertise with these new assets and experts, committing to the expansion and acceleration of anti-infective drug discovery and development through open collaborations with other pharmaceutical and biotechnology companies, foundations, academia, and government agencies. More than 150 scientists within Evotec will be active in this field.
Sanofi will pay Evotec an initial one-time cash upfront payment of EUR 60 m and provide significant further long-term funding to ensure support and progression of the portfolio. Sanofi will retain certain option rights on the development, manufacturing, and commercialisation of anti-infective products and will continue to be involved in infectious disease through its vaccines research and development and its global health programs. Under the agreement, Evotec will integrate Sanofi's infectious disease research unit, which includes more than 100 employees into its global drug discovery and development operations. The transferred positions will be associated with specific commitments of employment for 5 years and will continue to be based near Lyon, taking advantage of the location's scientific and medical ecosystems.
Evotec will expand its existing long-term initiatives focused on innovation to fight infectious diseases including the maintenance of a portfolio of projects aimed at diseases affecting the developing world. The focus of drug discovery will at the outset be on new mode-of-action antimicrobials.
Dr Werner Lanthaler, Chief Executive Officer of Evotec, said: "Since the acquisition of Euprotec (UK) in 2014, Evotec has had a significant strategic interest and demonstrated expertise in infectious diseases research, with an ambition to grow and become the drug discovery and development leader in this space together with its partners. We are pleased to be working and expanding our strategic relationship with Sanofi, which has a long history in providing novel anti-infective agents to markets globally. Finding a way to motivate more public funding and academic initiatives for the progress of novel anti-infectives on Evotec's platform will be a key success factor for this initiative."
"Sanofi has a long and established history in the fight against infectious diseases, and we remain committed to addressing global health challenges through our development efforts and vaccines", says Dr Elias Zerhouni, President Global R&D for Sanofi. "Research in the field of anti-infectives is an area where building critical mass through partnering is particularly important. This new French-based open innovation center will benefit from the high quality science ecosystem. Evotec is a trusted partner in drug discovery and has the ambition and capacity to become a real leader in the fight against infectious diseases."
This transaction is expected to close in the first half of 2018, subject to finalisation of definitive agreements and completion of the appropriate social process. This project will be conducted in full respect of social dialogue with employee's representatives.
ABOUT INFECTIOUS DISEASES Infectious diseases are caused by bacteria, viruses, fungi or parasites and can be spread, directly or indirectly, from one person to another. Treatments for infectious diseases include antibiotics and anti-viral medications. Today, infectious diseases propagated by bacteria are becoming increasingly resistant to many antibiotics and any use of antibiotics reduces the effectiveness of these drugs for other patients. The World Health Organization ("WHO") has deemed antibiotic resistance to be one of the three greatest threats to human health today. Almost a million people die of resistant infections a year. It is also estimated that by 2050, 10 million lives a year and a cumulative 100 trillion dollars of economic output are at risk due to the rise of drug resistant infections if solutions to this problem are not identified now. Thus, there is a critical need to research and develop medical solutions to combat antibiotic resistant bacteria.
Webcast/Conference Call Evotec invites you to join a conference call to provide information regarding this major alliance with Sanofi. The conference will be held in English.
Conference call details Date: Thursday, 08 March 2018 Time: 2.00 pm CET (1.00 pm GMT, 8.00 am EST)
From France +33 170750705 From Germany: +49 (69) 22 22 29 043 From Italy: +39 0236013806 From UK: +44 2030092452 From USA: +1 8554027766 Access Code: 37969784#
A simultaneous slide presentation for participants dialling in via phone is available at http://www.audio-webcast.com/ password: evotec080318. Webcast details To join the audio webcast and to access the presentation slides you will find a link on our home page www.evotec.com shortly before the event. A replay of the conference call will be available for 24 hours and can be accessed in Europe by dialling +49 69 22 22 33 985 (Germany) and+33 170 750 767 (France), +44 20 3426 2807 (UK) and in the US by dialling +1 866 535 8030. The access code is 654573#. The on-demand version of the webcast will be available on our website: https://www.evotec.com/article/en/Investors/Financial-Reports-2015-2017/188/6