Sanofi has entered into negotiations with U.S.-based private equity company, Clayton, Dubilier & Rice (CD&R), for the potential sale of a 50% controlling stake in Opella, its consumer health care business.
Sanofi's decision to spin off Opella — which already operates as a standalone business — aligns with biopharma's ongoing strategy to focus on innovative medicines and vaccines. The plan, which is part of what CEO Paul Hudson called a "new chapter" of Sanofi's multi-year 'Play to Win' strategy, was revealed last October.
Headquartered in France, Opella employs over 11,000 people, operates in 100 countries, and manages 13 manufacturing sites and four research and innovation centers. The company has a portfolio of 100 leading brands, including Allegra, Doliprane, Novanight, Icy Hot, and Dulcolax. According to Sanofi, Opella is the world's third-largest company in the OTC and vitamins, minerals and supplements market, serving more than half a billion consumers worldwide.
Per Bloomberg, the controlling stake in the Opella division is estimated to be worth about $16.4 billion (€15 billion).
Sanofi is not the only drug giant looking to divest its consumer health unit. Earlier this month, Pfizer sold a substantial stake in its consumer health care group, Haleon, which had been created by the merger of Pfizer and GSK's consumer health care businesses in 2019. Pfizer's recent move cut its shareholding in the maker of Centrum vitamins and Advil painkillers from 22.6% to 15%. Back in January, GSK had also sold off 300 million shares in Haleon, collecting approximately $1.24 billion, leaving the drugmaker with a 4.2% stake.