The planned sale of Doliprane, France's best-selling painkiller, to US investors has ignited a significant political backlash in France. On October 14, 2024, Antoine Armand, the newly appointed Minister of the Economy, stated that he would block the sale of Doliprane's production by Sanofi to the American investment fund Clayton, Dubilier & Rice (CD&R) unless production in France is guaranteed. Armand emphasized the necessity for 'extremely strong guarantees' to ensure that the widely used pain reliever continues to be manufactured domestically. [a122b0df]
On October 20, 2024, Armand announced that he had received assurances regarding the sale of Sanofi's over-the-counter drug unit Opella to CD&R. He stated that the demands concerning employment, production, and investment would be respected, alleviating some concerns among the public and politicians. This development comes in response to heightened worries over potential medication shortages, particularly in light of past shortages experienced during the Covid pandemic. The deal, valued at approximately 16 billion euros ($17.4 billion), is expected to finalize in the second quarter of 2025. [d5f8356c][6323c33b]
Sanofi, France's largest healthcare company, is currently in negotiations with CD&R to sell a 50% controlling stake in its subsidiary Opella, which produces Doliprane. This potential sale has raised alarms among politicians who warn of possible medication shortages and stress the importance of keeping production and decision-making within France. The sale affects around 1,700 jobs in France, with Opella employing over 11,000 workers globally across 100 countries. [a122b0df][6323c33b]
Armand's commitment to protecting domestic production aligns with the broader challenges faced by the French government as it navigates economic instability and public discontent. Following his appointment on September 22, 2024, alongside budget minister Laurent Saint Martin, Armand has been tasked with addressing a projected budget deficit of 6% of GDP and implementing significant spending cuts to stabilize the economy. [4f055f83]
The backdrop of these economic challenges includes ongoing protests against President Emmanuel Macron's government, which have been fueled by dissatisfaction with his leadership and economic policies. The left-wing coalition, which emerged as the largest force in parliament, has been vocal in its opposition to the government's direction, further complicating Armand's efforts to implement necessary reforms. [e1ed567c]
As the government grapples with these multifaceted issues, Armand's stance on the Doliprane production sale highlights the delicate balance between attracting foreign investment and safeguarding national interests in critical sectors such as healthcare. The situation underscores the growing concerns over national sovereignty and security as France navigates its economic future. [260edcf4]