The portfolio of products include OTC vitamins and food supplements, along with select products within the cardiovascular, diabetes, general medicine, and respiratory therapeutic areas
Japan-based pharmaceutical firm Takeda has signed an agreement to sell a portfolio of select products to Germany-based STADA Arzneimittel, for a total value of $660m.
The portfolio of products involved in the sale includes the over-the-counter (OTC) and prescription pharmaceutical products exclusive for Russia, Georgia, and other countries within the Commonwealth of Independent States including Armenia, Azerbaijan, Belarus, Kazakhstan, and Uzbekistan.
Takeda growth & emerging markets business unit president Ricardo Marek said: “Takeda remains committed to the Emerging Markets, Russia and the countries included in this agreement. As we execute on our divestiture goals, we continue to work to ensure that each transaction aligns with Takeda’s values.
“We are confident that STADA is well placed to provide patients with uninterrupted access to the divested products – a top priority for Takeda – and anticipate most of the employees supporting the divested assets will be given the opportunity to transition over to STADA once the divestiture is completed.”
STADA transaction marks the fourth divestiture of Takeda in six months
Takeda said that the transaction marks the fourth divestiture in the past six months, following the sale of Xiidra to Novartis for $5.3bn, sale of TachoSil to Ethicon for $400m, and sale of non-core assets in countries around Near East, Middle East and Africa to Acino for more than $200m.
The portfolio of products sold to STADA includes OTC vitamins and food supplements, along with select products within the cardiovascular, diabetes, general medicine, and respiratory therapeutic areas.
Takeda said that the products included in the sale help in meeting patient needs, but they do not fall under its focused business areas for gastroenterology, rare diseases, plasma-derived therapies, oncology and neuroscience.
As part of the acquisition, approximately 500 employees supporting the assets included in the transaction are expected to be provided an opportunity to switch over to STADA.
Furthermore, Takeda and STADA are planning to sign manufacturing and supply agreements pursuant to which, Takeda will continue to manufacture and supply the products for STADA.
Takeda intends to use the proceeds from the transaction to reduce its debt.
Takeda chief financial officer Costa Saroukos said: “This announcement is the latest step in Takeda’s effort to simplify our portfolio, accelerate deleveraging, and continue to invest in our key business areas. We are making strong progress towards executing our strategy and delivering enhanced value for patients and Takeda shareholders.”