Evotec has entered into exclusive negotiations with Sanofi on a major multi-component strategic alliance over the next five years. The collaboration will comprise three major strategic initiatives all focused on improving innovation effectiveness in the drug discovery and preclinical development space.
The collaboration will result in a minimum guaranteed commitment from Sanofi to Evotec of $308.3 million over the next five years, including a sizeable upfront cash payment. It will include a co-development agreement with associated upfront, development, regulatory and sales milestones, as well as royalties benefiting both parties. This multi-component transaction is expected to be signed in the first half of 2015, subject to finalization of definitive agreements and completion of the appropriate social process.
The alliance, upon completion, will cover three major strategic initiatives: