Deals

Shire's $2.4 Billion Cancer-Unit Sale Sweetens Takeda Appeal

  • Divestment, share buyback may both increase attractiveness
  • Oncology accounted for about 1.8 percent of Shire’s 2017 sales
Bloomberg’s Ed Hammond discusses Takeda Pharmaceutical working on a bid for Shire Plc.(Source: Bloomberg)
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Shire Plc agreed to sell its cancer unit to France’s Servier SAS for $2.4 billion, tightening the U.S.-based drugmaker’s focus on rare diseases and potentially making it more attractive to Takeda Pharmaceutical Co. as it considers a bid.

The Shire unit sells treatments for leukemia and pancreatic cancer, the Lexington, Massachusetts-based company said in a statementBloomberg Terminal Monday. The drugmaker said its board will consider using proceeds for a stock buyback after Takeda decides whether to go through with its contemplated offer.