Thursday 26 April 2018

J&J ends relationship with Elan with sale of shares

Research spending rose 52 percent as Elan and U.S. partner Wyeth enrolled patients in clinical trials. Library image
Research spending rose 52 percent as Elan and U.S. partner Wyeth enrolled patients in clinical trials. Library image

Johnson & Johnson today sold over 25m shares of Elan that signalled an end to their partnership.

The sale of the final stake in the Irish biotechnology firm follows an 82m share transaction back to Elan in April this year.

The move ended a business relationship that began four years ago during drug development for a product to treat Alzheimer’s.

Yesterday, the remaining depositary receipts were sold for $332.5 million, in line with J&J’s plans to restructure its portfolio.

Analysts have said that J&J’s sale will not impact the Dublin-based company, nor does it have any bearing on Royalty Pharma’s pursuit of Elan, according to Bloomberg. 

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