Global alternative asset manager Apollo Global Management is in talks to acquire Johnson & Johnson's orthopedics unit in a deal that could value it at close to $20 billion, Bloomberg News reported on Friday, citing sources.An agreement could be reached within several weeks, the report said, adding that the drugmaker could also decide to spin off the unit - known as DePuy Synthes - which has attracted interest from several private equity firms, as a publicly traded company.Apollo and J&J did not immediately respond to Reuters' requests for comment outside regular business hours.The potential deal talks come amid private equity interest in healthcare companies, following American Industrial Partners' $1.27 billion acquisition of Avanos Medical in April and Blackstone and TPG agreed to acquire women's health-focused diagnostic company Hologic for over $18 billion in 2025.J&J's orthopedics unit, which makes joint implants and surgical devices, generated $9.3 billion in 2025 but has faced thousands of lawsuits tied to its hip replacement devices.Reuters reported in February that J&J was preparing a potential sale of its orthopedics unit, with the company eyeing private equity firms as the most likely buyers.J&J last year said it had planned to separate DePuy Synthes into a standalone company within the next 18 to 24 months, marking its second major spinoff, as it sharpens focus on higher-growth healthcare segments.The company's chief financial officer, Joe Wolk, previously said J&J was exploring multiple paths for the separation, with a primary focus on a tax-free spinoff, but remained open to other options.He had added that the separation process was already underway, and did not expect further material updates on the transaction until mid-2026.
J&J orthopedics unit draws Apollo interest in potential $20 billion deal: Report
Apollo Global Management is in discussions to acquire Johnson & Johnson's orthopedics division, which could be worth around twenty billion dollars. In addition to this, Johnson & Johnson is contemplating the option of spinning off this unit into a separate public entity. This strategy aligns with the company's aim to concentrate on more lucrative healthcare areas, reflecting the growing private equity interest in the healthcare industry.
Apollo negotiates $20B acquisition of J&J's DePuy Synthes orthopedics unit; agreement possible within weeks or spinoff. Private equity accelerates healthcare acquisitions; J&J shifts toward higher-growth segments, reflecting portfolio reallocation after $18B Hologic deal.







