Provention Bio, Inc. (NASDAQ: PRVB) is engaged as a commercial-stage biopharmaceutical company, which is focused on the research, development and commercialization of innovative therapies for life-threatening immune-mediated diseases. Shares of the biopharma company are skyrocketing 261% through afternoon trading on Monday, March 13, 2023. Over the past three months, Provention Bio has seen average daily volume of 1.17 million shares. However, volume of 27.1 million shares of dollar volume of around $655.28 million, has already exchanged hands through afternoon trading.
Shares of Provention Bio are soaring after the company announced that it has entered into a definitive agreement to be acquired by Sanofi (NASDAQ: SNY). Under the terms of the agreement, Sanofi will acquire all outstanding shares of Provention Bio for $25.00 per share in cash. This gives the acquisition deal an equity value of $2.9 billion. The acquisition is estimated to be completed during the second quarter of 2023.
The takeover gives Sanofi ownership of TZIELD, a first-in-class therapy to treat type 1 diabetes, which was approved in the United States last year as the only treatment to delay the onset of Stage 3 type 1 diabetes in adults and pediatric patients aged 8 years and old with Stage 2 type 1 diabetes.
Sanofi’s strategic acquisition is the perfect fit for their growth, as it converges their expertise in immune-mediated diseases, disease-modifying therapies, and diabetes – all areas of significant unmet need. Sanofi will harness their expertise in diabetes and employ it to unlock TZIELD’s potential as a revolutionary treatment worldwide and within the United States, aspiring to delay Stage 3 type 1 diabetes for many of the 65,000 people diagnosed each year1. Enhancing their prior collaboration, Provention Bio and TZIELD have joined forces to provide crucial immune-mediated therapy to those who require it.
“Sanofi and Provention Bio share a common vision of bringing new therapies to patients with autoimmune diseases. Under our co-promotion agreement, our companies have made significant progress educating healthcare providers and increasing patient access during the initial U.S. commercial launch of TZIELD. Sanofi’s global expertise and commitment to immunology makes them an ideal acquiror and positions our innovative therapy to reach more patients as quickly as possible,” noted Ashleigh Palmer, CEO and Co-Founder of Provention Bio.
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