Summary
Johnson & Johnson (JNJ) announced the completion of the divestiture of its Cordis business to Cardinal Health on October 4, 2015. This transaction, valued at approximately $2 billion before customary adjustments, marks a significant strategic move for JNJ as it sheds a business segment focused on interventional vascular technology. The Cordis business generated approximately $780 million in net revenues in 2014, indicating its substantial contribution to JNJ's overall financials prior to the sale.
Key Highlights
- 1Completion of Cordis business divestiture to Cardinal Health.
- 2Transaction valued at approximately $2 billion, subject to customary adjustments.
- 3Cordis business is a global leader in interventional vascular technology.
- 4Cordis generated approximately $780 million in net revenues in 2014.
- 5The divestiture represents a strategic shift for Johnson & Johnson.
- 6The press release dated October 4, 2015, is attached as an exhibit.
Frequently Asked Questions
Johnson & Johnson divested its Cordis business, a global leader in interventional vascular technology, to Cardinal Health.
The divestiture was valued at approximately $2 billion, subject to customary adjustments.
The Cordis business generated approximately $780 million in net revenues in 2014.
While the filing doesn't explicitly state the 'why', the divestiture of a specific business segment like Cordis suggests a strategic refocusing of Johnson & Johnson's portfolio towards other areas of its healthcare business.