Deals

Takeda Shares Fall Most Since 2009 on Possible Bid for Shire

  • Shire says it hasn’t received a formal approach or offer
  • Takeda says no certainty it will make an approach for Shire
Japanese drugmaker Takeda Pharmaceutical may bid for Shire. Bloomberg’s Eric Pfanner reports.(Source: Bloomberg)
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Shares of Takeda Pharmaceutical Co. fell the most in nine years after disclosing it is considering a bid for Shire Plc that could approach $50 billion, which would be the Japanese company’s biggest takeover ever.

The stock decline shaved more than $3 billion from Takeda’s market cap. Coupled with a rally in Shire’s stock on the news Wednesday, the valuation gap between the two companies widened by more than $6.5 billion, posing a bigger financial challenge for Takeda if it decides to go forward with an offer.