Takeda to Sell Dry-Eye Medication to Novartis

Economy

Tokyo, May 9 (Jiji Press)--Takeda Pharmaceutical Co. <4502> said Thursday that it will sell dry-eye drug Xiidra and related operations to leading Swiss drug maker Novartis AG for up to 5.3 billion dollars.

Specifically, the Japanese drug maker will receive 3.4 billion dollars up-front in cash and up to 1.9 billion dollars in potential milestone payments from Novartis.

Takeda also said it will transfer the production and sales rights for surgical sealing patch TachoSil to Ethicon, a unit of U.S. health care conglomerate Johnson & Johnson, for some 400 million dollars.

These deals are expected to be completed in the latter half of this year.

Takeda plans to use the proceeds to cut debts swollen by its 6.2-trillion-yen acquisition of Irish drug maker Shire PLC in January.

[Copyright The Jiji Press, Ltd.]

Jiji Press