Lately the Japanese biopharmaceutical company, Takeda Pharmaceuticals, has been engaging in several collaborations, marking some of the largest transaction this year with Neurocrine Biosciences worth USD 2 billion. Continuing its strategic partnership for shaping their product portfolio, Takeda has entered into a partnership with Celltrion Inc., a South-Korea based Biopharmaceutical Company to divest several OTCs (Over-the-counter) drugs and select prescription drugs.
Based on partnership agreement, Takeda will receive an upfront payment of USD 266 million and USD 12 million as milestone payments as they offload a portfolio of 18 OTC drugs and pharmaceutical products in the Cardiovascular, Diabetes and General Medicine areas. These drugs will be sold by Celltrion in Australia, Hong Kong, Macau, Malaysia, Philippines, Singapore, South Korea, Taiwan and Thailand with Takeda continuing to manufacture the portfolio of divested products and supply them to Celltrion. Until the completion of transaction which is due towards the end of this calendar year, Takeda will remain the owner of these products. After the completion of proceedings, Celltrion will acquire the rights, title and interest to the products in the portfolio exclusive to these countries.
To align with their goal of divesting the non-core products, Takeda also divested several products to STADA Arzneimittal, Novartis, Hypera Pharma and Orifarm Group. Alongside, Takeda also has sold two of its manufacturing sites in Denmark and Poland. Through these deals, Takeda seems to pay off some of the debts it incurred with its merger with Shire.