Apollo rumoured to be eyeing $20bn takeover of J&J’s orthopaedics business

Apollo rumoured to be eyeing $20bn takeover of J&J’s orthopaedics business

Annabel Kartal Allen

Mon, September 14, 2026 at 7:42 PM GMT+3 3 min read

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Alternative asset management company Apollo Global Management is reportedly in talks to acquire Johnson & Johnson's (J&J) orthopaedics unit through a multi-billion-dollar deal.

According to Bloomberg, which first shared this development, Apollo and J&J are currently in non-binding talks that could result in the former acquiring the latter's orthopaedics business, DePuy Synthes, for nearly $20bn.

While anonymous sources close to the matter noted that a potential agreement could be reached within several weeks, they caveat that there is also a chance the talks could end without an agreement, or that another bidder could potentially enter the picture.

It appears that Apollo is not the only investor that's interested in acquiring DePuy Synthes, as the sources mention that the orthopaedics specialist has attracted interest from "several" private equity companies. However, if Apollo and J&J sign an agreement, it will be the former's largest healthcare deal to date.

When approached by Medical Device Network, both J&J and Apollo did not immediately respond to a request for comment.

J&J mulls next steps for DePuy Synthes

These rumoured deals come as J&J is actively working on separating itself from DePuy Synthes, following its 2025 announcement to spin out the company. While the unit posted consistent and steady growth, bringing in $9.3bn in sales last year, J&J noted it would split from DePuy Synthes to sharpen its core strategic focus on high-growth markets.

J&J created DePuy Synthes through its $21bn takeover of Swiss company Synthes in 2012, which the New Jersey-based giant then combined with its own business, DePuy.

At the time the separation was first announced, J&J claimed that its spinout would create the largest company focused on orthopaedics in the world, which GlobalData analysts previously said would "reshape" both J&J's operations, as well as the broader joint replacement, spine hardware and trauma device markets.

"The unit contributed steady revenue and a strong installed base of devices, but it also faced rising competition, pricing pressures from hospitals and health systems, and increasing regulatory and litigation costs tied to implant safety and recalls," the analysts said in October 2025.

With J&J potentially exploring avenues for a deal involving DePuy Synthes, GlobalData's medical devices therapy research and analysis director Andrew Thompson notes that a $20bn deal would be a "low end value".

Thompson says: "J&J brought Synthes in 2011 for $19.7bn, Depuy was a $3.5bn acquisition from Roche in 1998, so the valuation of the Depuy-Synthes unit seems a bit of an eye opener.

"We're tracking about $10bn in revenue for this unit alone, which suggests that J&J are only using a 2× multiplier in offloading it, suggesting they view it as distressed or highly risky."

This might mean that someone may come in with a better offer, Thompson adds, though he believes this would likely come from another private equity group or consortium.

"The likes of a Stryker or Zimmer launching a bid is unlikely due to too many regulatory hurdles, as it would mean that either one would have utter dominance of the orthopaedics segment, as Depuy Synthes already has largest share," Thompson concludes.

"Apollo rumoured to be eyeing $20bn takeover of J&J's orthopaedics business " was originally created and published by Medical Device Network, a GlobalData owned brand.