Animas is expected to operate as a stand-alone entity reporting through LifeScan, a Johnson & Johnson company offering blood glucose monitoring systems. The acquisition affords LifeScan immediate entry into the fast-growing insulin delivery pump market.
The boards of directors of Johnson & Johnson and Animas have approved the transaction, which is subject to a number of conditions and approvals but is expected to close in the first quarter of 2006. The net $518 million price tag represents $24.50 for each outstanding Animas.
“The combination of Animas’ insulin delivery systems and LifeScan’s glucose monitoring systems will allow us to offer more comprehensive disease management solutions for our patients,” said Eric Milledge, Johnson & Johnson company group chairman with responsibility for the LifeScan business.