UK PHARMACEUTICAL firm Shire has confirmed a takeover deal of US rival Baxalta for US$32bn to create the “global leader in rare diseases.”
The combined company will have a strong portfolio of treatments for blood disease, blood cancer, immune disease and metabolic disorders.
The deal will also include pipeline sharing of Shire’s early-stage cancer, and late-stage eye disease drugs such as SHP640 for infectious conjunctivitis, as well as Baxalta’s pipeline of 60 developments including US approved blood clotting agents, Adynovate, Vonvendi and Obizur.
Flemming Ornskov, Shire’s CEO, said, “This proposed combination allows us to realise our vision of building the leading biotechnology company focussed on rare diseases. Our expanded portfolio and presence in more than 100 countries will drive our growth to over US$20bn in anticipated annual revenues by 2020.”
Baxalta rejected a prior bid of US$30bn in August 2015, weeks after being spun off from US medical group, Baxter. Shire increased its bid, and offered US$18 cash per Baxalta share.
Ludwig Hantson, Baxalta’s CEO, said, “This transaction presents a unique opportunity for Baxalta shareholders, who will receive an ongoing stake in a combined leader in rare diseases. We bring to Shire a strong portfolio and pipeline of market-leading products, high-quality manufacturing capabilities and a talented global workforce.”
Shire and Baxalta say they expect the transaction to close mid-2016.
Catch up on the latest news, views and jobs from The Chemical Engineer. Below are the four latest issues. View a wider selection of the archive from within the Magazine section of this site.