Sanofi Advances $17.3B Opella Stake Sale to CD&R, Bpifrance Involved

29 Oct, 2024

Sanofi, the French pharmaceutical leader, is moving forward with plans to sell a 50% stake in its consumer health division, Opella, to U.S.-based private equity firm Clayton Dubilier & Rice (CD&R) in a deal valued at approximately €16 billion ($17.3 billion). As part of the agreement, Bpifrance, France’s state-owned investment bank, will acquire a 2% stake in Opella, ensuring a level of domestic influence over the unit's future. The transaction, expected to close by the second quarter of 2025, will allow Sanofi to focus on high-margin biopharmaceuticals, investing in treatments for diseases like RSV, COPD, and multiple sclerosis.

This move reflects a broader industry trend, as companies like GSK, Johnson & Johnson, Pfizer, and Novartis have also sold or separated their consumer health segments to concentrate on specialized drug development. In previous bids for Opella, French private equity firm PAI Partners made a competing offer but was ultimately excluded when Sanofi entered exclusive negotiations with CD&R.

Bpifrance’s involvement addresses concerns about potential job losses in France, with French officials securing commitments to maintain Opella’s local operations. Opella, known for products like Allegra and Doliprane, has a global footprint with 11,000 employees in over 100 countries. The deal reinforces Sanofi’s aim to drive growth in biopharmaceutical innovation.

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