French healthcare company Sanofi S.A. (Euronext Paris:SAN) (Nasdaq:SNY) confirmed on Wednesday that it has completed its acquisition of clinical-stage biotechnology company Vigil Neuroscience Inc (NASDAQ:VIGL).

This addition strengthens Sanofi's early-stage neurology pipeline with VG-3927, a TREM2 agonist in development for Alzheimer's disease.

VG-3927, an oral small-molecule therapy, will enter phase 2 clinical trials under Sanofi's leadership.

The acquisition also adds a preclinical portfolio targeting various neurodegenerative diseases.

Sanofi had previously invested USD40m in Vigil in 2024, securing exclusive negotiation rights for VG-3927.

The transaction includes an upfront payment of USD8 per share in cash, representing an equity value of approximately USD470m on a fully diluted basis. Vigil shareholders will also receive a contingent value right of USD2 per share, payable upon the first commercial sale of VG-3927.

Sanofi did not acquire VGL101, Vigil's second clinical programme.

The acquisition is not expected to impact Sanofi's financial guidance for 2025.