Biopharmaceutical firm Pfizer is considering a number of “strategic alternatives” including a spin-off or sale, for its $100 million Consumer Healthcare business, the German firm announced via press release Tuesday. While Pfizer said it may ultimately retain the business, its future with the company appears uncertain.
Including well-known brands like Advil, Robitussin, Centrum, and ChapStick, Pfizer’s Consumer Healthcare business produces a number of over-the-counter (OTC) medicines, personal care products, and vitamins.
“Although there is a strong connection between Consumer Healthcare and elements of our core biopharmaceutical businesses, it is also distinct enough from our core business that there is potential for its value to be more fully realized outside the company,” the firm’s chairman and chief executive officer, Ian Read, said in a statement. “By exploring strategic options, we can evaluate how best to fuel the future success and expansion of Consumer Healthcare while simultaneously unlocking potential value for our shareholders.”
Some industry observers told Reuters that the sale price of Pfizer’s business could reach four times its annual sales of $3.4 billion in 2016, or about $14 billion. Pfizer said it will make a decision on the matter in 2018 following a strategic review process.