Johnson & Johnson’s announcement that it will spin off one of the industry’s oldest and largest consumer health businesses to focus on its biopharmaceutical and medical device operations came as a surprise, but J&J execs explained that the pandemic has made it recognize key differences between the divisions. And the decision follows similar efforts to slim down and tighten focus at other big pharmas such as Pfizer Inc., GlaxoSmithKline plc, Merck & Co., Inc. and Sanofi.
J&J’s Consumer Health Spinout Plan Surprises, But Seen As Sensible
Analysts say the pharma’s plan would separate out a unit with less growth and lower margins – and some predict a further breakup of the pharma and medical device units.
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