jnj back on deck?

* October 19, 2010, 1:58 PM ET

J&J Makes Infectious Disease a Priority

By Jonathan D. Rockoff

Johnson & Johnson, best known for saving babies and relieving headaches, wants to become a leader in fighting contagious diseases.

Sheri McCoy, who heads J&J?s pharmaceuticals business, said it plans to expand work in infectious diseases like HIV, hepatitis C and the flu. McCoy spoke during the company?s presentation to analysts and investors of third-quarter earnings results.

Of course, J&J isn?t the only big drug maker with an eye on contagious illnesses. GlaxoSmithKline, for example, has made a big bet on fighting pandemic flu.

There?s a strong medical and business case to make for fighting infectious diseases. The infected certainly need new ? and better ? treatments. And insurers and governments would be inclined to pay up for, say, a universal flu vaccine that guarded against all flu strains.

J&J has a platform to build upon. The company already sells HIV therapies Prezista and Intelence. It has high hopes for a promising hepatitis C treatment, telaprevir, being developed with partner Vertex Pharmaceuticals.

The recent agreement to acquire Crucell, a Dutch vaccine maker, adds another building block. ?We want to make Crucell the center for vaccines in our pharmaceuticals business,? Chief Financial Officer Dominic Caruso said during the earnings call.