Genfit reports major step forward in Sanofi collaboration

Drug major Sanofi (Euronext: SAN) and fellow France-based Genfit (Alternext: ALGFT) have announced the activity of several selected chemical series on a target implicated in multiple metabolic disorders.

This is the first major achievement of the research collaboration signed last year for a period of three years, during which Sanofi and Genfit are committed to work together on the discovery and development of new drug candidates.

Under the terms of the deal, Sanofi pledged to make annual payments to Genfit to fund its research efforts for the collaboration (The Pharma Letter March 21, 2011). It could also pay up to $54.5 million on the achievement of development, registration and commercialization milestones. Once products are commercialized, Genfit will be eligible to receive royalties on product sales.