Sanofi Under Investigation by French Prosecutors for Possible Market Manipulation and False Financial Reporting

Investigation focuses on Sanofi's financial reporting surrounding 2017 launch of blockbuster drug Dupixent, amid allegations of misleading information and price manipulation, despite company's insistence of auditing accuracy.

• French prosecutors have launched a preliminary investigation into pharmaceutical company Sanofi for alleged market manipulation and false financial reporting, relating to the company's past financial communications.
• The investigation is reportedly linked to the fiscal reporting surrounding the 2017 launch of Sanofi's blockbuster drug, Dupixent, which treats asthma and eczema and is expected to generate sales of over $10 billion in 2023.
• Sanofi has strongly denied any wrongdoing, insisting that its financial information is accurate, precise, and sincere, and has been audited thoroughly by two firms. The company claims it was not aware of any preliminary investigation by the Parquet National Financier on its 2017 accounts or any other issue.
• Following Sanofi's unexpected profit warning for 2024-2025 and the announcement of its decision to sell its consumer health business, the company's share price fell sharply, dropping 20% within weeks.
• The investigation's revelation has had a further impact on Sanofi's shares, which fell by as much as 2.5% in late afternoon trading on the Euronext exchange in Paris.

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