Platinum Equity Bids to Buy Blood Glucose Monitor Company LifeScan
According to a Fortune.com profile, Platinum Equity focuses on investments in “companies that provide mission-critical products, services, and solutions” in a variety of industries. LifeScan offers diabetes management solutions, including the OneTouch® line of blood glucose monitors, to healthcare consumers and providers.
The blood glucose monitor business generated net revenue of about $1.5 billion last year. J&J has until June 15 to accept the offer, unless it’s extended. If accepted, the deal is expected to close by the end of the year.
“This is an important investment for us in a business that serves millions of patients around the world,” Platinum Equity Chairman and CEO Tom Gores said in a statement.
The news comes at a time when J&J is restructuring its diabetes management portfolio. The company had already pivoted away from insulin pumps by the end of last year.
Last year, J&J said it was reviewing strategic options for several of its diabetes businesses, including LifeScan, Calibra Medical and Animas. In October, J&J announced it had decided to close Animas and exit the insulin pump market. It chose Medtronic as its partner to transition current patients.