Look back at pharma news in week to May 11

What looks likely to be one of the biggest pharma industry M&A deals for several year, and certainly the largest acquisition by a Japanese company ever, seems set to move forward, with the agreement between Ireland-based Shire and Japan’s Takeda Pharmaceutical. Also on the M&A front, Eli Lilly agreed to acquire immuno-oncology drug developer Arma Biosciences and its lead candidate pegilodecakin. Among research news attracting attention was mixed results for Johnson & Johnson’s depression drug candidate esketamine, and elsewhere there was transformative news from Valeant Pharmaceuticals International, including a name change to Bausch Health Companies.

Takeda-Shire transaction shows the path for consolidation

Takeda’s purchase of Shire has been discussed for several months and was justified by Takeda’s management on their call based on increasing the diversification of the company’s geographic exposure (balancing Europe, Japan, North America, and other markets) and on increasing the company’s portfolio depth and breadth in four areas – oncology, neurology, rare diseases, and gastroenterology, noted Leerink analysts Geoffrey Porges.