Sanofi-aventis to acquire Chattem, broaden consumer health care bas

PARIS and CHATTANOOGA, Tenn. — Sanofi-aventis and Chattem Inc. announced Dec. 21 that they have entered into an agreement under which sanofi-aventis is to acquire 100 percent of the outstanding shares of Chattem in a cash tender offer for approximately $1.9 billion.

The transaction will create the world’s fifth-largest consumer health care company measured by product revenues by combining Chattem’s position as a leading U.S. consumer health care company with sanofi- aventis’ strong international presence in the sector, according to a joint press release.

Chattem is a manufacturer and marketer of branded consumer healthcare products, toiletries and dietary supplements. Its over-the-counter remedies range from Gold Bond body powders and Icy Hot pain-relieving creams, lotions and patches.

“The acquisition of Chattem will be a significant milestone in sanofi-aventis’ transformation strategy and will provide us with the ideal platform in the U.S. consumer health care market, which represents 25 percent of the current worldwide opportunity,” said Christopher A. Viehbacher, CEO of sanofi-aventis.

Zan Guerry, chairman and CEO of Chattem said the company “will form the base of a new consumer health care business in the United States for sanofi-aventis, and the headquarters, manufacturing and leadership team will continue to be based in Chattanooga.”