Japan’s Takeda Pharmaceutical Co. has upped its bid to buy Dublin-based Shire from $60 billion to $64 billion.
The move swayed Shire’s board members, who said they would recommend the deal to the company’s shareholders. But Takeda investors got jitters from the higher offer, sending shares for the company down by 7 percent Wednesday, after tumbling 20 percent since the potential deal was announced less than a month ago.
Takeda, which is about half the size of Shire, has been hoping to make the acquisition to expand its global reach. Although Takeda has had success with several drugs for cardiovascular problems, metabolic diseases and cancer, taking on Shire’s portfolio would boost the company’s presence in the market for rare diseases, which have high profit margins.
If the deal goes through, it would be the biggest pharmaceutical acquisition since 2000. The companies said they will make a final decision about the deal by May 8.
Read the full Reuters report.