Merck, Sanofi Tap Merck's Kohan To Head Animal-Health Venture

Merck & Co. (MRK) and Sanofi-Aventis SA (SNY, SAN.FR) said they will name Raul E. Kohan as chief executive for their proposed animal-health joint venture.

Kohan is now president of Intervet/Schering-Plough, Merck's animal-health business, which will be wrapped together with Sanofi's similar Merial business to create the new Merial-Intervet animal-health joint venture.

Sanofi and Merck said in March they would combine their two units, creating the world's biggest animal-health business, with more than $5 billion of revenue and roughly 29% of the global animal-health market. The venture is expected to get regulatory clearance by early next year.

Kohan joined Schering-Plough, which was bought by Merck last fall, in 1984 and has since held positions of increasing responsibility. He "brings a wealth of animal health and global pharmaceutical industry experience" to the position, said Merck Chairman and Chief Executive Richard T. Clark.

Jose Barella, executive chairman of Merial, will continue in his role until the deal closes. The companies didn't say what his position would be after that.

Separately, Merck said earlier Tuesday that it had signed a statement to cooperate with Sinopharm Group Co. (SHTDF, 1099.HK) on a vaccine for human papillomavirus and other mutually picked vaccine products in China and will discuss the potential for promoting and marketing Merck's products in China. Merck has been active recently in pushing to increase its global footprint.

-By Nathan Becker, Dow Jones Newswires; 212-416-2855; [e-mail];