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(Sharecast News) - Sanofi said on Monday that it has agreed to sell a 50% stake in its consumer healthcare business, Opella, to US private equity firm Clayton, Dubilier & Rice in a 16bn deal.
Opella is behind brands such as Allegra, Doliprane and Dulcolax, and is already the third-largest business worldwide in the over-the-counter and vitamins, minerals & supplements market, serving more than half a billion consumers worldwide.
The French pharmaceutical group said the transaction will pave the way "for the creation of a new, standalone leader in consumer healthcare, while supporting Sanofi's strategy and increased focus on innovative medicines and vaccines".
Sanofi would remain a significant shareholder, backing Opella in its future growth and path to independence, it said.
As part of the deal, French investment bank Bpifrance is expected to participate as a minority shareholder with a stake of around 2%.
Sanofi chief executive Paul Hudson said: "We will support Opella on its path to become an independent company, grounded in talented people, a deep consumer expertise and a truly global presence with deep roots in France.
"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."
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