Sanofi boss Paul Hudson admitted making “compromises” during “difficult discussions” with the government over the planned sale of its non-prescription drug subsidiary, which markets Doliprane, in an interview with the newspaper the world.
“We held very constructive but difficult conversations with the Minister of Economy, Antoine Armand, and the Minister Delegate in charge of Industry, Marc Ferracci, who were very firm in what they expected,” said the director general in this interview published online on Tuesday. .
“The State insisted a lot”
The British man, at the head of Sanofi since 2019, speaks a day after the pharmaceutical giant confirmed an exclusive negotiation with the American investment fund CD&R, to sell its subsidiary Opella.
In this context, the State discussed with the different parties to reach an agreement that includes commitments accompanied by sanctions to guarantee, in particular, the production of Doliprane in France, the supply of the French market and the preservation of jobs in the national plants. This agreement, presented in detail on Monday by the French Ministers of Industry and Economy, provides for the maintenance of Opella’s two French production plants in Lisieux (Calvados) and Compiègne (Oise), for at least five years.
A balance to be found so as not to scare away foreign investors
According to the current project, the public investment bank should acquire a stake in Opella of “1 to 2%” and Sanofi should remain a shareholder of around 48%. “Would it be easier not to have him as a shareholder? Maybe,” Paul Hudson admitted. But, according to him, “it was important that the Government had the right level of governance, just enough to be able to guarantee the fulfillment of our promises, but not too much so as not to give the impression that France is reluctant to welcome foreign investment .
He reiterated that the funds resulting from the sale of Orpella, around 8 billion euros, will be “invested partly in the growth of the company but also in carrying out external acquisitions. A part will also be granted to shareholders.”
Source: BFM TV