According to a Reuters report regarding the latest developments in the Johnson & Johnson (JNJ) and Actelion deal, J&J could now be looking to separate Actelion's commercial assets from its R&D portfolio. (See also, J&J and Actelion Talks Are On Again)

The article says J&J could be looking to spend as much 260 CHF per share to complete a deal, an amount higher than the initially reported 250 CHF. This new deal would also allow Actelion's current shareholders to benefit from Actelion's pipeline, should the pipeline prove to be successful. (See also, Who Killed the Actelion/J&J Deal?)

According to the report, the new R&D division would be listed as a public company, although the structure of the ownership and management is unclear at this point. 

The evolution of the deal is unique and intriguing to watch. From the outset, it seemed as though the management of Actelion was fighting tooth and nail to keep control of the business. (See also, Will Johnson & Johnson Take Over Actelion)

If this most recent report turns out to be true, a deal between the two may give the Actelion management the deal they have been waiting for, which is selling the piece of the business that is already commercialized and having a stake in the part of the business that has the tremendous upside. It speaks volumes to what the management team of Actelion thinks about the pipeline of the company. 

In my last article, Who Killed the Actelion/J&J Deal?, I said: 

"This latest news leads me to think that whatever the new party may be offering Actelion, it must be something which gives the company the independence they desire while getting the scale and resources a major pharmaceutical can provide." 

If this latest report is accurate, then it sounds like Actelion is going to get what it wants. The only difference being, it will be J&J that gives it to them. 


Want to learn how to invest?

Get a free 10 week email series that will teach you how to start investing.

Delivered twice a week, straight to your inbox.