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Johnson & Johnson plans to split into two companies

Johnson & Johnson said it will break itself up into two public companies, one focused on drugs and medical devices, and the other on consumer products

Topics
Johnson & Johnson | medical device | Pharma industry

AP  |  New Brunswick 

Johnson & Johnson

is splitting into two companies, separating the division that sells Band-Aids and Listerine, from its and prescription drug business.

The company selling prescription drugs and medical devices will keep as its name, the company said Friday.

That company will include treatments such as Darzalex, Erleada, Imbruvica, Stelara and Tremfya as well as solutions across interventional solutions, orthopaedics, surgery and vision.

The new consumer health company will house brands including Neutrogena, Aveeno, Tylenol, Listerine, Johnson's, and Band-Aid.

It is expected to generate revenue of approximately USD 15 billion for the year. A name was not disclosed for the new company.

Following a comprehensive review, the board and management team believe that the planned separation of the consumer health business is the best way to accelerate our efforts to serve patients, consumers, and healthcare professionals, create opportunities for our talented global team, drive profitable growth, and - most importantly - improve healthcare outcomes for people around the world, CEO Alex Gorsky said in a statement.

Details are sparse, but expects the split to occur in the next two years, if approved by the company board.

The announcement comes just days after General Electric said that it plans to split into three separate

Shares of Johnson & Johnson rose more than 4 per cent before the market opened.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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First Published: Fri, November 12 2021. 18:21 IST
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