Apollo Global in talks to buy J&J orthopedics unit, Bloomberg reports

• The orthopedics unit, DePuy Synthes, generates $9.3 billion in annual sales and manufactures hip, knee, and shoulder implants along with surgical instruments
• Several private equity firms are competing to acquire the unit, signaling strong interest in the orthopedics market
• J&J is divesting the unit to sharpen its focus on higher-growth healthcare segments as part of its portfolio optimization strategy

Summary: Apollo Global in Talks to Acquire J&J Orthopedics Unit

Key Transaction Details:

Apollo Global Management is negotiating to acquire Johnson & Johnson's orthopedics division in a deal valued at approximately $20 billion, according to Bloomberg News sources. Multiple private equity firms are reportedly interested in the unit, with an agreement potentially finalizing within weeks.

Company and Product Information:

The orthopedics unit, known as DePuy Synthes, manufactures hip, knee, and shoulder implants, surgical instruments, and related products. The division generated $9.3 billion in sales in 2025, making it a substantial asset in the medical device sector.

Strategic Context:

Johnson & Johnson previously announced plans to spin off DePuy Synthes as a standalone company within 18 to 24 months. The separation is part of J&J's broader strategy to concentrate on higher-growth healthcare segments, streamlining its business portfolio.

Market Implications:

This potential transaction represents one of the larger private equity deals in the healthcare sector and signals continued consolidation in the medical device industry. For Apollo, the acquisition would expand its healthcare portfolio significantly. For J&J, divesting the orthopedics unit through an outright sale rather than a spinoff could provide immediate capital and accelerate its strategic refocusing.

The deal underscores private equity's sustained interest in established healthcare businesses with steady cash flows. However, neither Apollo Global Management nor Johnson & Johnson has confirmed the negotiations, and no definitive agreement has been reached.

Status: Unverified reports; companies have not responded to requests for comment as of September 11.