** Shares of biopharma firm Ocular Therapeutix OCUL.O jump 14.2% to $12.64

** Sanofi SASY.PA is reportedly targeting OCUL for acquisition, according to French newspaper La Lettre

** French drugmaker had initially bid to buy Ocular for $16 per share last summer that was rejected in September - RBC

** RBC Capital Markets analyst Lisa Walter says "Sanofi is now preparing an improved proposal"

** For Sanofi, there is a need to replace Dupixent revenue which is facing LOE in 2031 and entering into the $15 billion neovascular, diabetic eye disease market could help, Walter adds

** As of last close, OCUL up 36.2% in past 12 months

(Reporting by Siddhi Mahatole)

((siddhi.mahatole@thomsonreuters.com))