Johnson & Johnson (NYSE:JNJ) said today that closed the $2.1 billion sale of its LifeScan blood glucose monitoring subsidiary to private equity player Platinum Equity.
The sale is part of the New Brunswick, N.J.-based healthcare conglomerate’s move to get out of the device end of the diabetes business. Early last year J&J announced a strategic review of the LifeScan, Animas and Calibra Medical diabetes businesses, later opting to outright shutter the Animas insulin pump subsidiary.
Until March Chinese glucose monitor maker Sinocare (SZ:300298) and a sovereign wealth fund were in the running for the LifeScan and Calibra businesses. (CeQur in July acquired a wearable, on-demand insulin delivery system from Calibra Medical for an undisclosed amount.) But that month J&J agreed to the Platinum offer for LifeScan, inking a binding agreement in June.
Johnson & Johnson said it won’t cede the diabetes field entirely, noting plans to continue to offer bariatric surgery products and drugs like Invokana and Invokamet.
Johnson & Johnson said it plans to discuss divestiture during its quarterly earnings call, slated for Oct. 16.