Johnson and Johnson and the Schering Plough Deal with Merck – Could Things change here?

It’s all about who gets the money from Remicade, from Schering as J and J worked together with them on the development. How complicated it gets with a new “Merck” legally created, in other words Schering gets to be the leader, then renamed, sounds complicated. Read the article for the rest of the details. This could complicate things all the way around or change, which ever way you want to look at it, especially when it gets in to the employment areas too.

But as this article states, J and J could come in with an offer of their own, especially if there was any indication of any potential revenue loss anywhere along the line with contract loopholes that could appear out of the blue, as everyone figures out which legal legs they have to stand on. BD

In Merck’s conference call Monday morning announcing the $41 billion deal, several analysts questioned whether Merck would be able to pick up two drugs that Schering and J&J developed and marketed together over the years to treat rheumatoid arthritis.

The questions arose because of the terms of a long-standing distribution agreement between Schering and J&J. The agreement specifies that if Schering-Plough were acquired, J&J would have the right to cancel the agreement and take full control of the drugs — and the billions of dollars they generate.