Takeda to acquire URL Pharma for $800 million

Japanese drug major Takeda Pharmaceutical (TYO: 4502) said yesterday that it has reached agreement to acquire privately-held US firm URL Pharma for an upfront consideration of $800 million with possible additional future performance-based payments.

On completion of the transaction, URL Pharma will be managed by Takeda Pharmaceuticals USA.  The acquisition will contribute significantly to Takeda’s revenues, operating income and free cash flow beginning in fiscal year 2013. Pending the satisfaction of customary closing conditions, the deal is expected to close within 60 days, said Takeda, Japan’s largest pharmaceutical company.

The news of the buy comes shortly after Takeda announced 2,800 job cuts as the company assimilates its last major acquisition, that of Switzerland-based Nycomed for 9.6 billion euros ($12.5 billion at current exchange rates) a year ago (The Pharma Letters January 19, 2012 and May 19, 2011).