Under terms of the agreement, the companies will evenly divide the value of the joint venture. Abbott receives rights to the oncology treatment, Lupron, including the commercial organization supporting that franchise, and will receive payments based on TAP Pharmaceutical Products (TAP) other current and certain future products. Takeda receives the rights to the product Prevacid, all the remaining TAP commercial and support organizations, and the rights to TAP’s pipeline.
Following the completion of the transaction, Takeda plans to integrate TAP into two of its wholly-owned US subsidiaries, Takeda Pharmaceuticals North America and Takeda Global Research and Development Center. The Lupron franchise will become part of Abbott’s US pharmaceutical business. Abbott expects the transaction to be neutral to 2008 earnings per share. Takeda expects that this agreement will have no impact to its consolidated financial results for the current fiscal year.
Yasuchika Hasegawa, president of Takeda, said: “With this agreement Takeda combines two successful organizations and creates a top 15 pharmaceutical company with more than 5,000 employees in the US. This size and talent base creates a tremendous platform for continued growth in the world’s largest pharmaceutical market, which plays a significant role in Takeda’s ongoing global growth.”