Belén Garijo, former chief of Merck KGaA, has been appointed as the new CEO of Sanofi after the removal of her predecessor, Paul Hudson. Prior to Hudson's exit, the pharmaceutical company experienced a stagnant period characterized by R&D setbacks. However, Garijo's appointment has drawn mixed reactions from the markets, with the stock value declining, and Bank of America downgrading Sanofi to a neutral rating. Furthermore, Sanofi is also facing a potential ‘huge task' of reinvigorating its R&D engine. Despite these challenges, Sanofi remains committed to investing in future growth avenues as illustrated by their $30m investment in GluBio, a start-up developing treatments for sickle cell disease. The company also announced positive results for venglustat, a drug for type 3 Gaucher disease. However, disappointment followed when plans to develop a next-generation mRNA seasonal flu vaccine were scrapped. Looking ahead, Garijo’s leadership is anticipated to be vital in steering Sanofi’s focus towards sustainable growth.
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