Sanofi has entered into an agreement to acquire Vigil Neuroscience, adding a new investigational medicine to treat Alzheimer’s disease to its neurology pipeline.
Key to the deal is Vigil’s VG-3927, an oral small molecule TREM2 agonist, soon to be evaluated in a phase 2 clinical study in Alzheimer’s disease. Activating TREM2 is expected to enhance the neuroprotective function of microglia in Alzheimer’s disease. This facilitates the prevention of neural degeneration that is frequently associated with adult-onset neurodegenerative diseases. Currently approved therapies for Alzheimer's disease don’t stop or reverse the disease progression.
Sanofi has had its eye on the asset since June 2024, when the company made a $40 million strategic investment in Vigil that included the exclusive right of first negotiation for an exclusive license, grant, or transfer of rights to research, develop, manufacture and commercialize VG-3927.
Now, per the deal, Sanofi will acquire all outstanding common shares of Vigil for $8 per share in cash at closing, representing an equity value of approximately $470 million. In addition, Vigil’s shareholders will receive a non-transferrable contingent value right per Vigil share, which will entitle its holder to receive a deferred cash payment of $2, conditioned upon the first commercial sale of VG-3927.
The companies expect transaction to close in third quarter of 2025.