Pharmacia, J&J; to Swap Pharmaceuticals

Pharmacia & Upjohn said it will trade its Motrin IB pain reliever and an antibiotic for Johnson & Johnson’s cold, allergy and Micatin athlete’s foot treatments, in a move designed to allow each company to focus on its strengths. Under the agreement, Pharmacia & Upjohn will give the rights to its Motrin IB pain reliever to New Brunswick, N.J.-based Johnson & Johnson’s McNeil Consumer Products division and its antibiotic ointment Mycitracin to J&J; Consumer Products. In exchange, Kalamazoo, Mich.-based Pharmacia & Upjohn would get J&J;’s Micatin athlete’s foot preparation and McNeil’s PediaCare cold and allergy medication and Nasalcrom allergy medication. The deal strengthens McNeil’s leadership in sales of pain relievers, which began with Children’s Tylenol in 1955. Pharmacia shares rose 25 cents to close at $34.875, while J&J; shares declined 12.5 cents to close at $59.25. Both trade on the NYSE.