In 2011, French drugmaker Sanofi-Aventis (SNY) nabbed Genzyme for $20.1 billion. Sanofi mostly had its eyes on Lemtrada (also known as Alemtuzumab), which treats multiple sclerosis, though a couple of other rare-disease treatments were also placed under Sanofi’s wings.
How has the drug done? Well, it hasn’t — Lemtrada was only in trials at the time, and still is. Its development does look promising though. It’s in Phase 3 trials, and Europe’s Committee for Medical Products for Human Use has recommended a new active substance designation for the therapy.
It’s too soon to call the acquisition a good deal or a bad deal, but forecasters don’t expect the MS treatment to produce more than $1.0 billion in annual sales. That’s not exactly a great ROI.