Sugaring the pill?
Takeda Pharmaceutical shares lost almost 5% of their value on Friday as investors fretted over the size of the deal the Japanese company would have to make to seal its recordbreaking purchase of Shire Plc.
Shire has rejected Takeda’s Us$63bn cash-and-stock conditional offer, saying the offer — and two previous offers — significantly undervalued its growth prospects and drugs in development. The raredisease drug maker says talks to determine “whether a further, more attractive, proposal may be forthcoming” will continue.
A successful bid would propel the company into the top ranks of global drug makers in Japan’s largest-ever outbound deal.
Several analysts say Takeda, Japan’s biggest drug maker by sales, will need to substantially raise the cash component of its offer to make it attractive to London-listed Shire’s shareholders.