Apollo Targets $20 Billion Deal for JNJ's Orthopedics Unit

Apollo Global Management is in talks to acquire Johnson & Johnson's orthopedics business, DePuy Synthes, for approximately $20 billion. The unit generates around $9.3 billion in annual sales and accounts for roughly a tenth of J&J's revenue.

The discussions are ongoing but remain private, with no guarantee that a transaction will occur. According to Bloomberg, other private-equity firms have also explored acquiring the business.

J&J has stated its intention to separate the orthopedics unit and has set 2027 as the target completion date for the separation process. MedTech chairman Tim Schmid said at the Wells Fargo healthcare conference that J&J will choose a path - spin or sale - that creates the most value.