M&A

30 November, 2009

UPDATE 2-Takeda: eyeing M&A for generics in emerging markets

* Takeda head: eyeing M&A for generic biz in emerging markets

* Takeda head: not interested in Japan generic drug market (Updates with president quotes, background)

TOKYO, Nov 30 (Reuters) - Takeda Pharmaceutical (4502.T) could acquire a company to help it enter the generic drug business in emerging markets, the president of Japan's largest drugmaker said on Monday.

Pharmaceutical companies are increasingly turning their attention to emerging markets and to generics as they face tougher safety and cost hurdles for new drugs in developed markets and as their existing top sellers go off-patent.

"To get the entrance ticket for emerging countries we might acquire the company who has a significant generic presence in those targeted areas," Yasuchika Hasegawa said, responding to a question about Takeda's strategy for generic drugs after a speech on Japanese corporate management practices.

Hasegawa said South America could be one region the drugmaker focuses on if it decides to make a push into overseas generics markets.

He said acquisitions were just a potential tool to enter such markets and did not elaborate on potential targets.

But Hasegawa said Takeda was not interested in getting into the Japanese generic drug market.

Domestic rival Daiichi Sankyo (4568.T) bought a majority stake in Indian generics drug maker Ranbaxy last year.

Pfizer Inc (PFE.N), the world's biggest drugmaker, has made a push this year into generics and emerging markets and has also said it may start selling generic drugs in Japan from 2011. [ID:nT240518] (Reporting by Nathan Layne; Editing by Edwina Gibbs) ((nathan.layne@thomsonreuters.com; +813-6441-1801; Reuters Messaging: nathan.layne.reuters.com@reuters.net)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))

Source: http://www.reuters.com