J&J orthopedics unit draws Apollo interest in potential $20 billion deal: Report

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.