Sanofi Deepens Autoimmune Push with $1.8B AI Biotech Deal

Sanofi’s ambition to become a dominant force in immunology continues to take shape, as the French pharmaceutical giant signs a deal worth up to $1.8 billion with U.S.-based biotech Earendil Labs. The agreement gives Sanofi exclusive global rights to two bispecific antibody therapies aimed at treating chronic inflammatory diseases.
Sanofi, which co-markets the blockbuster anti-inflammatory drug Dupixent with Regeneron, has been undergoing a major pipeline transformation.
That strategy has been backed by a string of recent high-value deals. In March, Sanofi inked a $1.6 billion agreement with Dren Bio for a CD20-targeting antibody to treat B-cell non-Hodgkin lymphoma. Earlier this month, the company returned to Nurix with a $480 million pact involving a protein degrader targeting autoimmune conditions.

The new collaboration with Earendil Labs adds two promising assets to Sanofi’s expanding immunology portfolio. The company will pay $125 million upfront, with an additional $50 million expected in the near term. If both drugs reach the market, Sanofi could pay up to $1.72 billion in development and commercial milestone payments, plus tiered royalties.
The lead candidate, HXN-1002, targets α4β7 and TL1A to treat ulcerative colitis and Crohn’s disease. HXN-1003, meanwhile, targets TL1A and IL-23, with potential applications in both colitis and skin inflammation.
“We firmly believe that Sanofi’s extensive expertise in the autoimmune disease field will significantly accelerate the development of HXN-1002 and HXN-1003, ultimately bringing these potentially life-changing treatments to patients worldwide as soon as possible,” said Zhenping Zhu, M.D., Ph.D., President and co-CEO of Earendil Labs, in a press release.

Earendil Labs describes itself as a “global leader in AI-driven research and development of next-generation biologics therapeutics.” The biotech is affiliated with Helixon Therapeutics, another AI-focused drug discovery firm applying machine learning to protein design.
With this latest deal, Sanofi continues to position itself at the forefront of immunoscience innovation, betting on emerging technologies like AI to accelerate drug discovery and development in one of the industry’s most competitive therapeutic areas.