NEW BRUNSWICK, N.J. — Johnson & Johnson has announced plans to split into two publicly traded companies – one for medical devices and prescription drugs, and another for consumer health products.
In a Friday news release, the company said it hopes the split, if approved, will occur in the next 18 months to two years. Johnson & Johnson will remain the name of the business behind treatments such as Darzalex, Stelara and Tremfya, medical devices and the COVID-19 vaccine, according to The Associated Press and CNBC. The release did not reveal the name of the other company, which will be over brands such as Tylenol, Neutrogena, Listerine, Aveeno, Band-Aid and Johnson’s.
“For the new Johnson & Johnson, this planned separation underscores our focus on delivering industry-leading biopharmaceutical and medical device innovation and technology with the goal of bringing new solutions to market for patients and healthcare systems, while creating sustainable value for shareholders,” Alex Gorsky, Johnson & Johnson’s CEO, said in the release. “We believe that the new consumer health company would be a global leader across attractive and growing consumer health categories, and a streamlined and targeted corporate structure would provide it with the agility and flexibility to grow its iconic portfolio of brands and innovate new products. We are committed to the success of each organization, as well as our company’s more than 136,000 employees around the globe, who will remain the backbone of these businesses.”
Earlier this week, General Electric also announced a planned split, saying it would break up into three separate companies, according to The Wall Street Journal.
– The Associated Press contributed to this report.
©2021 Cox Media Group