Sanofi acquires Alzheimer's candidate in $470m Vigil deal

Sanofi has revealed plans to acquire Vigil Neuroscience, along with its experimental Alzheimer's disease (AD) medication, for an estimated $470 million. This acquisition will provide Sanofi with access to VG-3927, an oral small molecule TREM2 agonist designed for daily use, which is currently in the early stages of clinical trials for Alzheimer's, a prevalent neurodegenerative condition. In the United States, about seven million individuals suffer from AD, which gradually impairs memory, cognitive abilities, and the capacity to perform basic tasks.

Vigil Neuroscience has highlighted the strong genetic and functional evidence linking TREM2 to Alzheimer's disease. The activation of TREM2 is believed to enhance the neuroprotective role of microglia, crucial cells in the brain's immune response, in patients with AD. Early clinical trials of VG-3927 have shown promising outcomes, illustrating both a favorable safety and tolerability profile and effective engagement with the TREM2 protein. This results in optimism about the drug's potential benefits for those suffering from Alzheimer's. The company plans to initiate a phase 2 trial of VG-3927 in Alzheimer's patients in the third quarter of this year.

According to Houman Ashrafian, the head of research and development at Sanofi, targeting TREM2 presents a compelling opportunity to address immune dysfunction and neurodegeneration, particularly in Alzheimer's patients who experience significant cognitive decline and have limited treatment options. Ashrafian emphasized that Vigil's expertise complements Sanofi's existing capabilities in neurology and reinforces their commitment to developing innovative treatments aimed at improving patient outcomes. He expressed eagerness to collaborate with Vigil’s team and the Alzheimer's patient community.

The acquisition agreement follows Sanofi's earlier $40 million strategic investment in Vigil, made less than a year ago. According to the terms, Sanofi will purchase all outstanding common shares of Vigil at $8 per share in cash upon closing. Additionally, Vigil's shareholders stand to gain a contingent value right of $2 per share, provided the completion of the first commercial sale of VG-3927 is achieved.

Ivana Magovčević-Liebisch, president and CEO of Vigil, shared her anticipation about joining forces with Sanofi. She noted that the partnership would harness Sanofi's extensive resources, broad platform, and expansive network to accelerate the advancement of VG-3927 for treating Alzheimer's—a disease with a substantial unmet medical need.

However, the acquisition will not include Vigil's second molecular program, VGL101. Both companies specified this in their announcement, indicating that the focus of the acquisition is solely on developing VG-3927 for Alzheimer's disease. Sanofi and Vigil aim to combine their strengths to address the challenging landscape of Alzheimer's treatment, providing hope for a therapeutic option that could significantly improve the lives of millions affected by this debilitating condition.