Takeda Pharmaceutical Company Limited [NYSE: TAK] disclosed that it has decided to sell its four diabetes products in Japan. Takeda has signed a sale agreement with Teijin Pharma Limited. As per the sale agreement, Takeda will hand over the assets, rights of marketing, and, finally the MA related with a collection of non-core products in Japan to Teijin Pharma Limited.
The transfer of assets and other rights dependent on the fulfillment of certain legal and regulatory conditions. The collection of products that the firm has decided to sell includes four non-core type 2 diabetes products. The four non-core product includes Zafatek, Nesina, Inisync, and Liovel which are marketed in Japan. These products have created total sales of nearly JPY 30.8 billion in FY2019.
These products are fulfilling the needs of patients in the country. Takeda is planning to use the profit to lessen its debt and speed up deleveraging towards its target of 2x net debt/adjusted EBITDA within FY2021 – FY2023. TAK has maintained its divestiture strategy and has fulfilled the $10 billion non-core asset sale goal.
Shares of Takeda Pharmaceutical [NYSE: TAK] went down 2.73% at $16.75 during the trading session of Thursday. Its share went up 34.75% from its 52-week low and went down -16.25% from its 52-week high. The market capitalization of the firm remained high, reaching $52.18 billion at the time of writing.
Up till now, Takeda Pharma Limited has revealed 12 deals since January 2019, for a total value of up to nearly $12.9 billion USD including this transaction. The current deal has allowed Takeda to increase its focus on bringing sophisticated products to Japan. The firm is planning to continue its partnership with Teijin Pharmaceutical. TAK believed that Teijin is the right partner for the firm as it has a history of working with type 2 diabetes products.