(Reuters) – Johnson & Johnson (J&J) on Friday announced plans to split into two independent companies by separating its consumer health division from the pharmaceutical division.
The American group will separate its branch of consumer health, which manufactures in particular Band-Aid dressings, into a listed company and plans to complete the operation within 18 to 24 months, he said in a statement.
J&J will retain the pharmaceutical and medical device business, which is expected to generate around $ 77 billion (€ 67.2 billion) in revenue this year.
“We believe that the new Johnson & Johnson group and the new consumer health company (” Consumer Health “) will both be able to allocate their resources more efficiently to meet the needs of patients and consumers, to boost their growth and deliver significant value, “said Joaquin Duato, who will succeed Alex Gorsky as J&J CEO in January.
In pre-market trading, the American group gained 5%.
Johnson & Johnson’s announcement comes just days after a similar one from industrial group General Electric, which plans to split into three listed companies.
(Manas Mishra report, Laetitia Volga, edited by Blandine Hénault)
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