Johnson and Johnson, the world's biggest maker of health-care products, said its board approved a plan to buy back as much as $10 billion in shares.

The stock will be repurchased on the public markets or through privately negotiated transactions, the New Jersey-based company said in a statement on Tuesday.

JandJ has about 2.77 billion shares outstanding. The drugmaker is scheduled to report third-quarter profit later today.

Earnings, excluding one-time items, may have reached $1.45 (€1.27) on a per-share basis, according to the average of 18 analysts' estimates compiled by Bloomberg.

JandJ has been investing heavily in building up its pharmaceutical business as other products, such as medical devices, face pressure to compete on price to retain customers.

- Bloomberg