MSD sells interest in joint venture to J&J

Published: 29 Sep 2011

MSD, known as Merck in the US and Canada, has sold its 50 per cent interest in an over-the-counter (OTC) joint venture with Johnson & Johnson (J&J) for $175m.

J&J will now take full ownership of the venture, formed in 1989 to develop, manufacture and market OTC products in the US and Canada.

Following the transaction, J&J will obtain exclusive rights to market OTC Pepcid (famotidine), Mylicon (simethicone) and other OTC products in the US and Canada. The company will also take full control of a manufacturing facility in Lancaster, Pennsylvania.

MSD said it sold its interest to focus on building its consumer products division acquired in the company's purchase of Schering-Plough in 2009.

MSD  also said it is looking to 'exploit' its pipeline of prescription to OTC switches, and is increasing OTC licensing activities in the US and Canada.

Published: 29 Sep 2011

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