Apollo in Talks to Buy J&J's DePuy Synthes in Near $20 Billion Deal

Apollo Global Management is in discussions to acquire Johnson & Johnson's orthopedics business, DePuy Synthes, in a transaction that could value the unit at close to $20 billion, people familiar with the matter said. An agreement could be finalised within several weeks, though J&J may still opt to separate the division as a publicly traded company instead.

DePuy Synthes, which manufactures joint implants and surgical devices, posted $9.3 billion in revenue in 2025. The business has also been weighed down by thousands of lawsuits related to its hip replacement products.

The unit has drawn interest from multiple private equity firms, reflecting a broader wave of buyout activity in the healthcare sector. In April, American Industrial Partners agreed to acquire Avanos Medical for $1.27 billion, while Blackstone and TPG struck a deal in 2025 to take women's health diagnostics company Hologic private for more than $18 billion.

J&J had signalled earlier that it was preparing a potential sale of the orthopedics division, with private equity buyers seen as the most likely suitors. Last year, the company said it intended to separate DePuy Synthes into a standalone business within 18 to 24 months, a move that would mark its second major spinoff as it narrows its focus to higher-growth healthcare segments.

Chief financial officer Joe Wolk has said J&J is weighing several routes for the separation, with a tax-free spinoff as the preferred option, while keeping other alternatives open. He noted that the process was already under way and that no significant updates on the transaction were expected before mid-2026.

Neither Apollo nor J&J responded immediately to requests for comment outside regular business hours.