Following in the footsteps of GSK and J&J, Viatris is reportedly considering divesting its consumer healthcare assets.
Viatris is eyeing a deal for its European consumer health programs that could raise more than $2.9 billion, unnamed sources said Bloomberg. Although Viatris did not respond to a request for comment, CEO Michael Goettler previously clarified that he was on a mission to reduce the company’s “non-core assets”.
This includes Biocon’s recent $3.3 billion deal to take over Viatris’ biosimilars business. When reporting fourth-quarter results in February, Goettler said Viatris had spent 2021 “conducting a comprehensive strategic review of all of our businesses,” and estimated the company could save $9 billion through the Biocon agreement and other assignments.
On the recent second quarter conference call, Goettler said Viatris was “making good progress on previously announced divestments of other selected non-core assets. And we continue to expect to execute on these plans by the end of 2023.” . »
Viatris was formed in 2020 from the merger of Mylan and the Upjohn unit of Pfizer, becoming one of the largest generic players in the world and offering key products such as Lipitor, Lyrica and Viagra. Immediately, the company planned to cut spending by $1 billion in an effort to restructure.
A handful of pharmaceutical companies have recently ditched their consumer health units, including GSK, which spun off its Haleon business this summer, and J&J, which last month revealed Kenvue’s name for its own consumer health spinoff.
GSK had made several unsolicited takeover bids for Unilever, despite the company’s board claiming to have “fundamentally undervalued” Haleon. Kenvue, along with popular brands such as Neutrogena, Tylenol and Band-Aid, is expected to separate from the main company by November 2023.