PRINT | CLOSE WINDOW

Reports: J&J begins effort to sell Ortho-Clinical Diagnostics

By  - 9/6/2013 4:00:09 PM

Johnson & Johnson has started a sales process for its Ortho-Clinical Diagnostics Inc. unit, which employs some 1,100 workers in Rochester, published reports state.

The unit originally was an Eastman Kodak Co. medical diagnostic unit producing Kodak-brand blood analyzers.

The sale could fetch $5 billion, Reuters and the Wall Street Journal reported Friday, citing unnamed sources.

J&J has asked JPMorgan Chase & Co. to run the sale and is preparing to send detailed financial information to potential buyers, including some of the world's largest private-equity firms along with health care companies, the sources told Reuters. The companies declined to comment on the report.

In January, the Rochester Business Journal reported Johnson & Johnson was considering a sale of Ortho-Clinical Diagnostics. J&J chairman and CEO Alex Gorsky revealed during a fourth-quarter earnings call that J&J, based in Raritan, N.J., was considering strategic options that could include a divestiture of Ortho-Clinical Diagnostics. A spinoff of the $2.1 billion unit might also be considered, he said.
 
Ortho-Clinical Diagnostics ranked 23nd on the Rochester Business Journal's most recent list of private-sector employers with a local workforce of 1,130 people.
 
(c) 2013 Rochester Business Journal. To obtain permission to reprint this article, call 585-546-8303 or email service@rbj.net.