J&J formally takes 18% stake in Elan

INTERNATIONAL healthcare giant Johnson & Johnson (J&J) formally became a significant shareholder in Irish pharmaceutical firm Elan yesterday as its amended equity investment deal was finally completed.

The $885 million (€601m) deal gives J&J – through its affiliate company, Janssen Pharmaceutical – an 18.4% equity stake in Elan.

A further $500m will give J&J a 50.1% controlling share of Elan’s Alzheimer’s treatment pipeline – with that division now being controlled by a newly formed joint venture company, Janssen Alzheimer Immunotherapy. Elan will have a 49.9% share of the venture.