OSAKA, Japan, Jan. 18, 2012 /CNW/ - Takeda Pharmaceutical Company
Limited ("Takeda", TSE: 4502) announced today strategic measures to
better align its global workforce and consolidate site operations in
order to integrate legacy Nycomed operations, strengthen its presence
in more than 70 countries, adapt to changing market conditions and
maintain a focus on growth through innovation and culture, as outlined
in its 2011-2013 Mid-Range Plan (MRP).
The measures support both the execution of the company's strategy and
the integration targets announced last year. They would also bring
further efficiencies to the organization to sustain medium and
long-term growth targets starting in fiscal 2015. The company will
align Nycomed's former operation structures and processes with the
Takeda global headquarters in Japan and the newly defined organizations
of the Chief Commercial Officer - which is headquartered in Zurich,
Switzerland - and Chief Medical & Scientific Officer - which is
headquartered in Deerfield, Illinois - and its expanded affiliate
"The combination of Takeda and Nycomed, which we acquired on September
30, 2011, brought together Takeda's strong presence in the Japanese and
U.S. markets with the legacy Nycomed business infrastructure in Europe
and high-growth emerging markets," said Yasuchika Hasegawa, President &
CEO, Takeda Pharmaceutical Company Limited. "While our combined
operations in more than 70 countries are more complementary than
overlapping, there are a number of areas where we will need to make
changes to ensure efficient and flexible operations moving forward."
Takeda will secure a sustainable future by maximizing the synergies of
the steady integration of Takeda and Nycomed, such as the sales
expansion of Takeda's product pipeline utilizing Nycomed's strong sales
platforms in Europe and emerging countries.
To meet the needs of the market, Takeda will also shift from a product
portfolio centered on mature, high selling products to a more diverse
portfolio focused on new products. The combined company has an active
commercial presence in the therapeutic areas of metabolic diseases,
gastroenterology, oncology, cardiovascular health, CNS diseases,
inflammatory and immune disorders, respiratory diseases and pain
Takeda also plans to consolidate its R&D sites to ensure ongoing support
for all marketed products and support development and global
registration of new products throughout the combined footprint. Takeda
will invest strongly in R&D focused on core therapeutic areas, while
effectively deploying both internal and external resources to create
innovative drugs and transform treatment paradigms. The integrated R&D
organization aims to support Takeda's global vision of bringing
innovative products to address patients' needs by maximizing
efficiency, driving standardization, optimizing resource utilization
and driving productivity.
To meet its goals, Takeda plans the consolidation of a number of sites
and functions, including the potential merger or liquidation of
subsidiaries mainly in Europe, and a reduction of workforce in the
United States, primarily within Takeda Pharmaceuticals North America.
The necessary cost for this plan is estimated approximately Yen 70
billion in total during fiscal 2011 - 2015. During this period, Takeda
will achieve cost synergies of approximately Yen 200 billion. The cost
synergy in Europe estimated in fiscal 2014 is now Yen 40 billion which
is 10 billion greater than the original forecast announced in May 2011.
Takeda plans a reduction of the Takeda global workforce by
approximately 2,800 (2,100 mainly in Europe and 700 in the U.S.)
positions by the end of fiscal 2015 across the functions of R&D,
commercial, operations and G&A.
Employees affected by the measures will be offered appropriate guidance
and support in accordance with Takeda's corporate values and applicable
local practices, policies and requirements.
The financial impact of this plan within fiscal 2011 ending March 2012
is estimated at Yen 35 billion downward in income, and the revised
forecast of Takeda's consolidated financial statements, including these
strategic measures and other factors, will be disclosed upon fiscal
2011 3Q earnings release announcement scheduled on the 1st February 2012. The updates for progress of consolidation of sites and
functions will be announced in an appropriate and timely manner.
These strategic measures and plans announced today are subject to
appropriate information and consultation processes with affected
employees and their representatives in accordance with applicable
national laws on a country by country basis, which commence today.
Located in Osaka, Japan, Takeda is a research-based global company with
its main focus on pharmaceuticals. As the largest pharmaceutical
company in Japan and one of the global leaders of the industry, Takeda
is committed to strive towards better health for patients worldwide
through leading innovation in medicine. Additional information about
Takeda is available through its corporate website, http://www.takeda.com.
Takeda's Forward-looking statements
This press release contains forward-looking statements. Forward-looking
statements include statements regarding Takeda's plans, outlook,
strategies, results for the future, and other statements that are not
descriptions of historical facts. Forward-looking statements may be
identified by the use of forward-looking words such as "may,"
"believe," "will," "expect," "project," "estimate," "should,"
"anticipate," "plan," "assume," "continue," "seek," "pro forma,"
"potential," "target," "forecast," "guidance," "outlook" or "intend" or
other similar words or expressions of the negative thereof.
Forward-looking statements are based on estimates and assumptions made
by management that are believed to be reasonable, though they are
inherently uncertain and difficult to predict. Investors are cautioned
not to unduly rely on such forward-looking statements.
Forward-looking statements involve risks and uncertainties that could
cause actual results or experience to differ materially from that
expressed or implied by the forward-looking statements. Some of these
risks and uncertainties include, but are not limited to, (1) the
economic circumstances surrounding Takeda's business, including general
economic conditions in Japan, the United States and worldwide; (2)
competitive pressures and developments; (3) applicable laws and
regulations; (4) the success or failure of product development
programs; (5) actions of regulatory authorities and the timing thereof;
(6) changes in exchange rates; (7) claims or concerns regarding the
safety or efficacy of marketed products or product candidates in
development; and (8) integration activities with acquired companies.
The forward-looking statements contained in this press release speak
only as of the date of this press release, and Takeda undertakes no
obligation to revise or update any forward-looking statements to
reflect new information, future events or circumstances after the date
of the forward-looking statement. If Takeda does update or correct one
or more of these statements, investors and others should not conclude
that Takeda will make additional updates or corrections.
SOURCE Takeda Pharmaceutical Company Limited
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