By Kim Richters

Sanofi SA said Monday that it plans to sell its equity investment in Regeneron Pharmaceuticals Inc. via a registered public offering and a related share repurchase by Regeneron.

The French pharmaceutical company said Regeneron agreed to buy back $5 billion of its stock from Sanofi, subject to the completion of the public offering.

Sanofi currently holds 23.2 million shares of Regeneron's common stock, or around 20.6% its share capital. After the offering and repurchase, Sanofi will hold 400,000 shares in Regeneron.

The transactions won't affect the collaboration between the companies, Sanofi said.

After closing the deal, Sanofi expects its earnings per share to grow by around 5% in 2020 at constant exchange rate compared with a restated figure of EUR5.64 for 2019.

Write to Kim Richters at kim.richters@wsj.com

(END) Dow Jones Newswires

May 25, 2020 13:34 ET (17:34 GMT)

Copyright (c) 2020 Dow Jones & Company, Inc.
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