Johnson & Johnson receives US$2.1bn offer for LifeScan Inc. from Platinum Equity

Johnson & Johnson (NYSE: JNJ) said it has been offered about US$2.1bn for LifeScan Inc., a maker of blood glucose monitoring products for people with diabetes.

Johnson & Johnson said the offer is from Platinum Equity, a private investment firm. The healthcare giant said the acceptance period for the offer will end on 15 June 15 2018, unless extended. If the offer is accepted, the transaction should close by the end of 2018, Johnson & Johnson said.

LifeScan had revenue in 2017 of about US$1.5bn. Ashley McEvoy, company group chairman, Consumer Medical Devices, Johnson & Johnson, said the possible sale of LifeScan to Platinum Equity would be “part of our ongoing, disciplined approach to portfolio management to focus on our most promising opportunities to help patients and drive growth.”

LifeScan’s potential sale appeared to have no impact on the shares of Johnson & Johnson, which were down just 0.6% at US$132.28 in mid-morning trading Friday.

Story by ProactiveInvestors