Takeda CEO upbeat on near-term prospects for enlarged company

14 May 2018

Following the finalization of his firm’s $62 billion purchase of Dublin’s Shire (LSE: SHP), Takeda Pharamceutical (TYO: 4502) chief executive Christophe Weber says the deal will start to pay dividends almost immediately.

Mr Weber told Japanese press that the earnings per share figure for the newly-formed entity would “significantly grow at year one,” even after the issuance of new shares. Some investors have expressed concern over the risk of dilution as new shares are being created to cover part of the asking price.

While Takeda’s share price has fallen, stocks in Shire have risen significantly since the Japanese suitor started making overtures towards the rare disease specialist. Takeda’s market capitalization now stands at about two-thirds that of Shire’s.

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