Sanofi, the largest pharmaceutical company in France, will sell half of its consumer healthcare division, Opella, to American private equity firm Clayton, Dubilier & Rice (CD&R).
Opella has a portfolio of noteworthy brands such as Allegra, Buscopan, Icyhot, Pharmaton, Cenovis, and Doliprane.
Opella, with 11,000 employees and operations across 100 countries, is the third largest business in the over-the-counter and vitamins, minerals & supplements market.
Bpifrance secures small stake.
In response to political backlash against foreign ownership, France’s state investment bank, Bpifrance, will also take a small (around 2%) stake in Opella. This secures a board seat to protect jobs and production in France.
Antoine Armand, French Economy Minister, posted on X (translated from French): “We have obtained guarantees for the maintenance and development of Opella in France. Our demands regarding employment, production, and investment will be respected, particularly for Doliprane and other essential medications for the country. The state, via @Bpifrance, will be a shareholder to ensure this is upheld.”
Sanofi will keep a 48% stake.
Paul Hudson, Sanofi Chief Executive Officer, said: “Our chosen partner CD&R has demonstrated unique capabilities in the consumer space, with deep values of respect for employees, customers, communities in which they operate, and the environment.”
“We also welcome Bpifrance as a supporter of Opella’s development journey. At the same time, Sanofi can focus even more in bringing innovative solutions to patients suffering from debilitating or life-threatening diseases or viruses such as RSV, COPD, or multiple sclerosis,” Hudson added.
Sanofi is the latest pharma giant to shift focus to prescription drugs.
With this decision, Sanofi follows in the footsteps of its competitors like Johnson & Johnson and GSK, which have also spun off their consumer healthcare divisions to concentrate on higher-margin prescription drug development.