Sanofi has announced its intention to buy Synthorx in a bid to beef up its immuno-oncology offering.

The French drugs giant said it will pay $68 per share in cash for the company, which equates to an equity value of around $2.5 billion.

Synthorx is a clinical-stage biotech focused ob cancer and autoimmune disorders.

The firm’s proprietary Expanded Genetic Alphabet platform technology expands the genetic code by adding a new DNA base pair and is designed to create optimised biologics, referred to as Synthorins.

A Synthorin is a protein optimised through incorporation of novel amino acids encoded by the new DNA base pair that enables site-specific modifications, which enhance the pharmacological properties of these therapeutics.

The company’s lead immuno-oncology (IO) product candidate, THOR-707, a variant of IL-2, is in development in multiple tumor types as a single agent and in combination with an immune checkpoint inhibitor.

“This acquisition fits perfectly with our strategy to build a portfolio of high-quality assets and to lead with innovation, as you will hear at our Capital Markets Day tomorrow, December 10. Additionally, it is aligned with our goal to build our oncology franchise with potentially practice-changing medicines and novel combinations,” says Paul Hudson, Chief Executive Officer, Sanofi.

“This acquisition fits perfectly with our strategy to build a portfolio of high-quality assets and to lead with innovation, said Paul Hudson, Sanofi’s chief executive, explaining his firm’s interest in the deal.

“Additionally, it is aligned with our goal to build our oncology franchise with potentially practice-changing medicines and novel combinations,” he added.

The transaction won the unanimous support of both boards of directors.