Apollo rumoured to be eyeing $20bn takeover of J&J’s orthopaedics business

Apollo Global Management is reportedly in non-binding talks to acquire Johnson & Johnson's orthopaedics unit, DePuy Synthes, for nearly $20 billion, according to Bloomberg. While sources indicate an agreement could be reached within weeks, there remains a possibility of talks falling through or other bidders entering the picture.

J&J announced plans to spin out DePuy Synthes in 2025 to focus on high-growth markets, with the unit posting consistent growth and bringing in $9.3 billion in sales in 2025. If the deal goes through, it would be Apollo's largest healthcare acquisition to date. Analysts speculate that a $20 billion deal could undervalue the orthopaedics specialist, which has a valuation of $10 billion in revenue.