Johnson
& Johnson announced Friday it will split itself into two publicly traded
companies, separating its lucrative pharmaceutical and medical devices
divisions from the consumer products business known for Band-Aid, Tylenol and
its namesake baby shampoo.
The larger pharmaceutical and
medical device business will retain the Johnson & Johnson name. The
divisions — which include its coronavirus vaccine — brought in nearly $13
billion in the most recent quarter.
The other company will be built
around such well-known brands as Tylenol, Listerine and Band-Aid, assets that
took in about $3.7 billion in the most recent quarter. It is referred to in the
company’s announcement as “The New Consumer Health Company.”
The separation will take 18 to 24 months and is subject
to approval of the company’s board.
It is the latest corporate breakup
of the week.
Japanese
electronics giant Toshiba said it will split into three businesses just days
after General Electric announced it will become three companies focused on
energy, aviation and health care.
From The Washington Post (edited)
Photo credit: Richard Drew/AP
