Johnson & Johnson plans to separate the Company’s Consumer Health business, creating a new publicly traded company. The planned separation would create two global leaders and allow for greater innovation and flexibility to pursue more targeted business strategies and accelerate growth.
 
The new Johnson & Johnson would remain a diverse healthcare company and continue its commitment to R&D and innovation, with a portfolio that blends its Pharmaceutical and Medical Device capabilities focused on advancing innovation and technology.
 
The planned separation is expected to increase management focus, resources, agility and speed to address differing industry trends; further focus capital allocation based on the objectives of each independent company; and align corporate and operational structures so each company is better able to drive growth and value creation.
 
Following the planned separation, the new J&J would remain a large and diverse healthcare company and maintain a portfolio leveraging its strength in core areas of science, technology, regulatory, supply chain and global commercial reach, and would continue to build on its offering of treatments, including DARZALEX, ERLEADA, IMBRUVICA, STELARA and TREMFYA, as well as accelerate key therapeutic areas, such as oncology and immunology, and new therapeutic modalities such as cell and gene therapies.
 
The Pharmaceutical and Medical Devices segments are expected to generate revenue of approximately $77 billion in Full-Year 2021.
 
Alex Gorsky will serve as Executive Chairman of Johnson & Johnson and transition the Chief Executive Officer role to Joaquin Duato, currently Vice Chairman of the Company’s Executive Committee, effective January 3, 2022. Mr. Duato would continue to lead the new Johnson & Johnson following completion of the planned separation.
 
The New Consumer Health Company would be a leading global consumer health company, with iconic brands such as Neutrogena, AVEENO, Tylenol, Listerine, JOHNSON’s, and BAND-AID and continuing its legacy of innovation. The new Consumer Health Company’s Board of Directors and executive leadership would be determined and announced in due course as the separation process progresses.

Mr. Gorsky said, “Throughout our storied history, Johnson & Johnson has demonstrated that we can deliver results that benefit all our stakeholders, and we must continually be evolving our business to provide value today, tomorrow and in the decades ahead. Following a comprehensive review, the Board and management team believe that the planned separation of the Consumer Health business is the best way to accelerate our efforts to serve patients, consumers, and healthcare professionals, create opportunities for our talented global team, drive profitable growth, and – most importantly – improve healthcare outcomes for people around the world.”
 
Mr. Duato said, “This planned transaction would create two businesses that are each financially strong and leaders in their respective industries. We believe that the new Johnson & Johnson and the New Consumer Health Company would each be able to more effectively allocate resources to deliver for patients and consumers, drive growth and unlock significant value. Importantly, the new Johnson & Johnson and the New Consumer Health Company would remain mission driven companies with exceptional brands, commitments to innovation, and remarkable talent. Each company would carry on the Johnson & Johnson legacy of putting the needs and well-being of the people we serve first.”