Sanofi. The consensus recommendation is Strong Buy, based on a survey of 18 . In 2021, Sanofi announced several critical steps in this journey with the unveiling of the creation of EUROAPI and the appointment of Karl Rotthier as its CEO in January, the appointment of Viviane Monges as Chair of the Supervisory Board in July and the finalization of the carve-out in December 2021. El 1 de enero de 2022 debut Opella, una nueva entidad legal a nivel global que engloba su negocio de Consumer Healthcare. The company also stated that a formal process to appoint the Chair and form the Board of the consumer healthcare unit is in progress. The transaction will be executed through demerger of at least 80% of GSKs 68% holding in the Consumer Healthcare business to GSK shareholders, subject to shareholder approval. STADA Arzneimittel AG is headquartered in Bad Vilbel, Germany. Merck & Co's strategy to spin off its older drugs and biosimilars into a new stand-alone business will be closely watched by other pharma companies considering the same move, analysts have said. With Bill Sibold, EVP, Specialty Care & Frank Nestle, Global Head of Research, Chief Scientific Officer Other commercial successes in J&Js pharma portfolio include inflammatory disease therapy Stelara, which reaped $7.7bn in revenue last year; monoclonal antibody Darzalex for the treatment multiple myeloma; lymphoma and chronic graft-versus-host disease drug Imbruvica, developed with AbbVie; and antibody-based plaque psoriasis treatment Tremfya. There are certain watershed moments in every person's life that propel them to find a community. Final note: I am long Sanofi directly through its shares listed in Europe. And Scottish universities have a track record of securing UK funding. Paris, March 18 2022. Sanofi is offering its animal health unit Merial in exchange for Boehringer's consumer health, or non-prescription drugs, business plus 4.7 billion euros ($5.2 billion) in cash in exclusive . Although Sanofis management believes that the expectations reflected in such forward-looking statements are reasonable, investors are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond the control of Sanofi, that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. The unit's revenue grew by 3% at constant exchange rates in . While GlaxoSmithKline boasts a higher dividend yield at 5.4% than Sanofi's 3.6%, Sanofi . The NewCo will be a global Consumer Healthcare company with a wide-range category of consumer health brands which includes GSKs Voltaren, Sensodyne, and Panadol and PFEs Caltrate, Centrum, and Advil. The company was formed by a merger between Glaxo Wellcome plc and SmithKline Beecham plc. NewCo will be the global leader in OTC products with 7.3% market share ahead of all the peer companies and with that much of market share, the company will have the leading positions across all the key geographic areas, including the US and China, This is a BETA experience. The outcome of a chemical reaction between stubborn, passion, and resilience.<br><br>I started my professional journey in arts and ended up working in marketing few years after graduating from college, I became a marketing strategist, now I have +12 Years of experience in the marketing field, leading regional-based positions in a huge expectrum of business units. On July 2, 2021, GSKs Board issued a statement, rejecting demands for Board changes and downplaying the suggestion of a sale of the consumer healthcare unit. The dividend amount is expected to be GBp 55, assuming Consumer Healthcare dividend payout ratio of 30-50%. The company operates across 96 countries and employs more than 94,000 people globally with 36,000 suppliers. Anyway, it is not nave to think that, at the moment, this company has a few problems that must be addressed. The new Primary Care unit was to focus on mature markets. Sanofi assumes no responsibility for the information presented on this website. I wrote this article myself, and it expresses my own opinions. Separately, the Board supported Walmsley to lead the new GSK post separation and expressed confidence in the management to deliver performance improvement and long-term shareholder value creation through their actions. Grow with us; Diversity & Inclusion; Development opportunity: how Sanofi empowers you; Nicolas Obrist|+ 33 6 77 21 27 55 |nicolas.obrist@sanofi.com, Investor Relations > Add the event to my calendar, Cowens 43rd Annual Health Care Conference With a diversified technology portfolio, EUROAPI is positioned as the world's leading manufacturer of small molecule API (including complex chemical synthesis molecules, biochemical molecules from fermentation and highly potent molecules). The combined global sales were about $12.7 billion in 2017. "If the GlaxoSmithKline Consumer Health spinoff goes well, we believe it is likely that Sanofi could spin off its consumer health business as well, which is a reasonable extension of the internal separation that is ongoing," HSBC analyst Steve McGarry said in a Nov. 1 note. For medical information: medinfo.india@sanofi.com , customercare. acted as financial advisor to Euroapi. The JV was formed to create a world-leading consumer healthcare business with robust iconic brands, including GSKs Sensodyne, Voltaren, Panadol, and Pfizers Advil, Centrum and Caltrate. *About Active Pharmaceutical Ingredients (APIs) This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, as amended. GlaxoSmithKline and Pfizer plan to spin off their joint consumer health business next year, and German drugmaker Merck KGaA sold its consumer health division to Procter & Gamble Co in 2018. Earlier this month, Sanofi announced a new strategic vision for its Consumer Healthcare division. Is the microbiome therapy hype up for a reckoning? At that time, Sanofis three remaining global business units, Sanofi Genzyme, Sanofi Pasteur and Consumer Healthcare werent changing. Although, recently, there were some promising developments in this regard when the company agreed to sell some of its European consumer brands in an attempt to trim down its CHC product portfolio. Worldwide, STADA Arzneimittel AG sells its products in approximately 120 countries. Culture and talent. Sanofi Offloads 16 Consumer Health Brands Health 9 hours ago Web As part of its quest to streamline consumer healthcareand eventually spin off the unit as a standalone businessSanofi will offload 16 consumer . 07 MARCH 2023. I am encouraged by the organizations early achievements in our efficiency initiatives, which will allow us to further drive innovation in our business., 1985 - 2023 BioSpace.com. Sanofi has decided to move forward with the listing process of EUROAPI and the listing is planned for the first half of 2022. investor.relations (at) sanofi.com. Johnson & Johnson, Bayer and Sanofi, according to Reuters, are close competitors in the consumer healthcare market. Globally, self-care saves people around 11 billion hours. This press release does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in France, the United Kingdom, the United States of America, Canada, Australia, Japan or any other jurisdiction. 50 billion, which the drugmaker considered to undervalue the business. We recognize that allergies can be challenging and symptoms such as itchy eyes, sneezing and a runny nose can be a burden to getting on with everyday life. Investigator Sponsored Studies and Externally Sponsored Collaboration, Access to Quality Healthcare Sanofi Global Health, Contributing to the eradication, elimination and control of some infectious diseases, Serving the needs of patients with non-communicable diseases, Development opportunity: how Sanofi empowers you, https://www.sanofi.com/en/investors/contact. In addition, GSK is continuing with the restructuring and active portfolio management of its consumer-health division ahead of the spin-off, expected by late 2022. GSK is a research-based healthcare company, focused on developing, manufacturing, and marketing of human healthcare products. Sanofi assumes no responsibility for the information presented on this website. Take a look at highlights from our portfolio of self-care products. Post separation, New GSK will focus across four core therapeutic areas (TAs): Infectious Diseases, HIV, Oncology and Immunology/Respiratory. She is particularly interested in stories about AI, antibiotic resistance, and global health equality. /marketintelligence/en/news-insights/latest-news-headlines/sanofi-bucks-industry-trend-by-pledging-to-keep-stand-alone-consumer-unit-68747982 Chief Science Officer for Consumer Healthcareon International Self-Care Day 2022. I have no business relationship with any company whose stock is mentioned in this article. The gut is often referred to as the bodys second brain. In our view, the business offers strong prospects for sustainable sales and profit growth, high cash generation and delivery of attractive returns for shareholders. GSK owns 68% holding in the JV while Pfizer owns 32%. chc@sanofi.com (Consumer healthcare products) For reporting adverse events: PV.india@sanofi.com. -. Whats Next For Keurig Dr Pepper Stock After A Mixed Q4? This is the reason why earnings grew by 5.2% YoY in Q1, despite the reported top-line slowdown. Consumer Health (OTC) Products; U.S. Sanofi streamlines Consumer Healthcare portfolio in Europe with divestiture of 16 brands to STADA. Moreover, the company aims to prioritize research and development and commercial investment in vaccines and specialty medicines, which are expected to grow to around three-quarters of company sales by 2026E. The Board of Sanofi (ENXTPA:SAN) completed the spin-off 58% stake in EuroAPI on May 6, 2022. Home . Post separation, the new Consumer Healthcare company is expected be listed on London Stock Exchange (LSE) with ADR to be listed in the US. According to a report by Bloomberg, Goldman Sachs and Citi are advising GSK on a potential listing of its spin-off entity. Deal Overview. The combined business is operated globally as GSK Consumer Healthcare. Sanofi is a long-term player. Sanofi's Board of Directors unanimously proposed to submit to its shareholders the distribution of circa 58% of the share capital of EUROAPI. Paul Hudson, Sanofis chief executive officer, who took over the reins of the company on September 1, is expected to meet with investors in Cambridge, Massachusetts on December 10. Sanofi, which has been carving out its consumer group into a separate business since 2019, remains wedded to the unit after a restructuring helped it return to growth last year. In connection with the proposed spin-off, French Tech Souverainet has agreed to purchase 12% in EUROAPI shares from Sanofi for up to 150 million, with the acquisition price to be determined based upon the thirty day volume weighted average trading price ("VWAP") of EUROAPI's shares on Euronext Paris, starting on the first day of trading. The leading site for news and procurement in the pharmaceutical industry. Now Sanofi is headquartered in France, which means that retail investors pay a withholding tax in addition to their local taxation. In addition to its highly diversified customer base of approximately 530 customers, EUROAPI benefits from a strong and long-term customer relationship with Sanofi, which represented nearly half of EUROAPIs revenues in 2021. Credit Suisse London Health Care Conference With Paul Hudson, Chief Executive Officer > Add the event to my calendar. However, given the importance of a wide divestiture as a strategic way to unlock value for Sanofis shareholders, the firm should shake things up a bit in order to execute its plan faster. Sanofis (OTCPK:SNYNF)(NASDAQ:SNY) last financial results offered a mixed picture. The deal increased Sanofis consumer healthcare market share to about 4.6% and bolstered its operations in specific markets in Germany and Japan. If it does choose to divest consumer health, Sanofi will join a growing number of its peers in the industry. We believe the separation could be a trigger for driving improved share price appreciation, given that the stock has underperformed peers historically. All in all, even though the stagnant divisions are at the moment predominant, that story is changing. Prioritization will become increasingly important going forward, Hudson told reporters. The pharmacological and medical device division maintains J & J's name, and the corporation expects a tax-exempt spin-off. Investigator Sponsored Studies and Externally Sponsored Collaboration, Access to Quality Healthcare Sanofi Global Health, Contributing to the eradication, elimination and control of some infectious diseases, Serving the needs of patients with non-communicable diseases, Development opportunity: how Sanofi empowers you. Forward-looking statements are statements that are not historical facts. Sanofi does not anticipate any impact of this divestiture to its European-based workforce. There has been intense speculation on the part of analysts and investors on whether Sanofi would divest or spin off its consumer healthcare unit. Media Relations The companys operations are currently divided in four parts: The first two divisions actually appear to be in good shape, showing a healthy growth. 2021 position: 2. The joint venture has a global market share of 3.5%. J & J stocks, which are a portion of the Dow Jones Manufacturing Average (.DJI), rose 1.5%. Welcome to Sanofi Consumer Healthcare. No communication and no information in respect of the dividend distribution of the shares of EUROAPI (the Shares) may be sent to the public in any jurisdiction where a registration or approval is required. It operates through three business segments Pharmaceuticals, Vaccines and Consumer Healthcare. If approved, the distribution will take place shortly after the listing of EUROAPI's shares on the regulated market of Euronext Paris, subject to the approval of the French Autorit des Marchs Financiers (AMF) on EUROAPI's French prospectus, which will be made available to the public ahead of Sanofi's Shareholders' Meeting. We believe that empowering individuals, the community, and healthcare professionals to promote and practice self-care will lead to people all over the world being healthier. Incorporated in 1999, GlaxoSmithKline plc (GSK), a British company based in United Kingdom. By clicking the Download Free Whitepaper button, you accept the terms and conditions and acknowledge that your data will be used as described in the Scotland Health Tech privacy policy. I am not receiving compensation for it (other than from Seeking Alpha). By 2026, cash generated from operations for New GSK is expected to exceed 10 billion. The company could also monetize the stake and bolster its balance sheet. As a result, French Tech Souverainet will become a long-term reference shareholder of EUROAPI and will be represented by two non-executive members on EUROAPI's Board of Directors, including Benjamin Paternot and another member to be determined. Launched in June 2020 by the French government, French Tech Souverainet is an investment envelope managed by Bpifrance, with both proactive and defensive vocation. "If the GlaxoSmithKline Consumer Health spinoff goes well, we believe it is likely that Sanofi could spin off its consumer health business as well, which is a reasonable extension of the internal separation that is ongoing," HSBC analyst Steve McGarry said in a Nov. 1 note. Precision medicine has the potential to radically change the way health services are delivered, combining medical expertise with the latest technology to provide bespoke treatments for individual patients. The largest part of Sanofis business is not growing. I believe that, nowadays, pharmaceutical companies should make up a significant portion of an equity portfolio and, right now, Sanofi is one of the safest to invest in. We project annual organic growth of 4% on a going-concern (GC) basis (i.e. Sanofi Forward-Looking Statements . The French drugmaker spent more than 12 billion on acquisitions in the last two years to bolster the group's pipeline of early medicines, said CFO Jean-Baptiste de Chatillon, who added that the company will ramp up R&D spending by around half a million euros in 2022. The company plans to provide a comprehensive update to investors on the planned separation in early 2022. J&J CEO Alex Gorsky said in a statement that the planned split would allow J&J to deliver new solutions for patients through biopharmaceutical and medical device innovation and technology, and provide the new consumer health company with the agility and flexibility to grow its iconic portfolio of brands and innovate new products. Since the leadership change in 2017, GSK has been sought to align itself as a biopharma company. EUROAPI develops, manufactures, markets and distributes APIs and intermediates used in the formulation of medicines for human and veterinary use, both from originators and generics, through its API Solutions business and CDMO activities. Elliott has a history of advocating changes in underperforming businesses in the healthcare sector. | As part of its quest to streamline consumer healthcareand eventually spin off the unit as a standalone businessSanofi will offload 16 consumer health products to Germany's Stada . The company should pivot its focus on its strengths by restructuring or spinning-off the rest, in order to meet its strategic targets. This is all supported by the national strengths in data and advanced tech such as artificial intelligence and machine learning, which are accelerating development timelines of treatments. Total Pharmaceuticals reported 6.434 billion, Sanofi Pasteur (Vaccines) reported 1.929 billion. Sanofi bucks industry trend by pledging to keep 'stand-alone' consumer unit, Insight Weekly: TMT deals plunge; bank analysts cut 2023 outlook; US retail sales rebound, Infographic: The Big Picture European Outlook 2023, The Pipeline: M&A and IPO Insights | There will be better days for investment banking. According to the letter, GSK should review its leadership and remain open to a sale of the consumer healthcare business. Combined, J&J projects the two segments will tally $77 billion in 2021 revenue. The consumer arm comprised of million- and billion-dollar brands and offering products such as mouthwash, shampoo, and skincare will form a new publicly traded company in the next 18 to 24 months. 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