OSAKA, Japan, and ZURICH—Takeda Pharmaceutical CompanyLimited has announced that it will be acquiring privately-owned Nycomed A/S for9.6 billion euro on a cash-free, debt-free basis, per an agreement with Nycomed'sshareholders. Takeda plans to finance a part of the transaction through a loanfor approximately 600 billion to 700 billion yen. The transaction wasunanimously approved by the boards of directors of both companies, and isexpected to be completed within 90 to 120 days, preferably by the end of September.As of December 31, 2010, Nycomed had 13,778,110 shares outstanding.
"Takeda is committed to transforming our organizationthrough the acquisition of Nycomed," says Yasuchika Hasegawa, President &CEO of Takeda. "Nycomed enables Takeda to maximize the value of our portfolioand gives us an immediate strong presence in the high-growth emerging marketswhile doubling Takeda's European sales."
Once the acquisition, which excludes Nycomed's United Statesdermatology business, is complete, Nycomed will be a wholly owned subsidiary ofTakeda, subject to antitrust clearance.The sellers consist of a consortium of private equity funds that are ledby Nordic Capital Funds V and VI, including DLJ Merchant Banking Partners (aCredit Suisse affiliate), Collar International Partners IV and V and AvistaCapital Partners.
"Nycomed's strength in a geographically wide range ofmarkets and its diverse talent base will be a strong driver to helping usrealize our important mission of striving toward better health for patientsworldwide through leading innovation in medicine," adds Hasegawa.
The transaction is a strong one for Takeda, as it gains thecompany Nycomed's established business presence in Europe and emerging markets.It also includes Nycomed's roflumilast franchise (which goes under the tradename of Daxas in Europe), a first-in-class chronic obstructive pulmonarydisease (COPD) treatment. Acquiring Nycomed fits well with Takeda's strategicgrowth strategy, and is a big step in widening the company's global commercialfoothold.
"The combination of Takeda's successful track record ofinnovation with Nycomed's efficient commercialization and manufacturinginfrastructure will create a global player with a phenomenal ability to bringmedicines to patients and healthcare providers around the world," says HakanBjorklund, Chief Executive Officer of Nycomed.
Additionally, the more than 2.8 billion euro that Nycomedamasses in annual revenue will also provide Takeda will new cash flow. Theacquisition will boost annual revenue for Takeda more than 30 percent, and willincrease EPS by 30 percent and operating income by 40 percent. Nycomed'sproduct portfolio consists of established prescription pharmaceutical products,which are responsible for driving the bulk of the company's the revenue, andalso over the counter products. Its aggressive growth plan is also helping itto grow quickly within emerging markets that make up over 50 percent of globalpharmaceutical growth.
"The investment in Nycomed has outperformed even the highestexpectations. We are proud to have contributed to Nycomed's development into aworld-class pharmaceutical company with a strong market position and productpipeline,"says Kristoffer Melinder, Managing Partner of NC Advisory AB, advisorto the Nordic Capital funds. "I feel confident that Takeda will be able tofurther build upon Nycomed's potential and create an even stronger company witha global market presence."