Company: SNY
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0001121404-25-000010
Chunk: 32

Company: Sanofi
Filing Date: 2025-02-13
Form: 20-F
Chunk 32
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 and financial condition. In addition, if completion of the separation does not occur, the Opella business will remain part of Sanofi, which could (i) have an adverse effect on our strategy, including but not limited to the allocation of resources to the Biopharma segment, where value-creating opportunities and longer-term operational changes have been identified to support our intended accelerated R&D expenditure; (ii) cause potential delay in the execution of the strategic objectives of Sanofi and the Opella business; and (iii) have a disruptive effect on management and employees of Sanofi and/or the Opella business. Moreover, failure to complete the separation could have an adverse effect on our reputation and on external perception of our ability to implement large scale projects successfully, even where due to factors outside our control. There are also costs associated with the separation that we would still be required to pay even if the separation is not completed. Completion of the planned separation, for which we have incurred and are expected to incur significant costs, may not achieve the expected benefits in full or in part and there is no guarantee as to the timing of when or if any such benefits may be realized. The success of the operation and its expected benefits will depend on several factors, including many factors outside of our control, and a number of assumptions that may prove incorrect. Post-separation, we may face a number of challenges relating to the implementation of the separation and to operating without the Opella business. There may be adverse financial, operational, regulatory, consumer, patient and reputational implications if we fail (either wholly or in part) to meet such challenges. Such adverse implications could impact our financial condition, results of operations and/or prospects. For example, our business will be smaller and less diversified than currently, and will be more susceptible to adverse developments in the remaining business and markets in which we operate. Accordingly, should any part of our remaining business underperform, this could have a greater adverse impact on our results or financial conditions following separation than would have been the case prior to the separation. In addition, post-separation we will have greater relative exposure to the global pharmaceuticals and vaccines markets and the associated risks and will no longer benefit from exposure to the Consumer Healthcare market we had prior to separation from the Opella business, which would make us more reliant on the R&D process (see “—Several factors may hinder or delay our research and development efforts to renew our portfolio of medicines and vaccines). Finally, as we will retain a holding in Opella of up to 48%