Supervisory Board of Aventis approves strategic focus on pharmaceuticals

15-Nov-2000

Strasbourg - At a regularly convened meeting, the Supervisory Board of Aventis S.A., Strasbourg, gave the Board of Management its consent to develop further steps to focus the company on pharmaceuticals.

The integration of the Aventis activities worldwide has made very good progress and the pharma business has been showing steady and strong top-line growth. With an R&D budget of 2.5 billion euros, around 19.000 sales representatives globally, a strong pipeline of new products and more than ten major products, which are expected to be launched between 2001 and 2004, Aventis is today well positioned for further sustainable growth in the pharmaceutical industry.

The agricultural business Aventis CropScience, which has been operating as an independent legal entity since Aventis was founded, would be divested. The Board of Management of Aventis will evaluate all value-enhancing options including a potential initial public offering of Aventis CropScience under the name "Agreva". The divestment process is expected to be implemented by the end of 2001. Aventis will initiate discussions with Schering AG, the minority shareholder (24 percent) of Aventis CropScience, and expects to reach an agreement within a short period of time.

Since the creation of Aventis, market consolidation in both the pharma and agriculture sector has accelerated. By effecting the separation, Aventis would achieve strategic flexibility, clarity and enhanced performance focus for both businesses.

The Animal Nutrition business is in the process of being sold. The 50 percent stake in the animal health joint venture Merial will be retained. The divestments of the remaining industrial activities, namely the interests in Messer and Wacker, are expected to progress as previously communicated.

Aventis (NYSE: AVE) is a world leader in life sciences dedicated to improving life through the discovery and development of innovative products in the fields of prescription drugs, vaccines, therapeutic proteins, crop production and protection, animal health and nutrition. With global corporate headquarters in Strasbourg, France, Aventis employs around 95,000 people in more than 120 countries and recorded pro forma sales in 1999 of 20.5 billion euros. Aventis was launched in December 1999 through the merger of Hoechst AG of Germany and Rhône-Poulenc SA of France. For more information: www.aventis.com

Statements in this news release other than historical information are forward-looking statements subject to risks and uncertainties. Actual results could differ materially depending on factors such as the availability of resources, the timing and effects of regulatory actions, the strength of competition, the outcome of litigation and the effectiveness of patent protection. Additional information r

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