Regulatory authorities in the EU have approved Johnson and Johnson's (NYSE:JNJ) planned $30B takeover of Actelion after the company pledged to spin-off one of the combined firm's two insomnia pipeline programs.
Actelion's insomnia project will be transferred to a new company called Idorsia. J&J has agreed to limit its stake in the new entity to 10% if it is the largest shareholder and 16% if not. It will not nominate a board member and cannot influence its strategy or obtain information on the drug in development.
