Summary Box: Johnson & Johnson buying Crucell for $2.41 billion
By APWednesday, October 6, 2010
Summary Box: Johnson & Johnson buying Crucell
THE DEAL: Johnson & Johnson is buying Crucell NV of The Netherlands for about $2.41 billion, giving Johnson & Johnson a stronger foothold in the vaccine market.
BACKGROUND: J&J bought a 17.9 percent stake in Crucell in 2009. Crucell makes a variety of vaccines focused on treating childhood, endemic, and respiratory diseases. The companies have been working together since 2009 to develop a universal flu vaccine.
WHY IT MATTERS: Vaccines have become a desirable area for pharmaceutical companies looking to diversify and replace revenues lost as blockbuster drugs get cheaper generic rivals. Vaccines increasingly command high prices and rarely face generic competition.
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