Takeda Pharmaceutical Co. Ltd. has reached an agreement to acquire Nycomed for $13.7 billion on a cash-free, debt-free basis. The transaction, subject to antitrust clearance, is expected to be completed within 90 to 120 days, making it a wholly owned subsidiary of Takeda. The purchase would exclude Nycomed’s U.S. dermatology business.

Nycomed, headquartered in Zurich, Switzerland, has a diversified product portfolio of both established prescription and OTC products. Its significant business infrastructure in Europe and high-growth emerging markets are expected to enhance Takeda’s regulatory development expertise and commercialization capability. The acquisition includes the roflumilast franchise (Daxas in Europe), a treatment for chronic obstructive pulmonary disease (COPD), which is expected to be a major source of revenue growth for Takeda. Takeda will also have an immediate and stable increase in cash flow with Nycomed’s more than 2.8 billion Euro in annual revenue.

“Takeda is committed to transforming our organization through the acquisition of Nycomed. Nycomed enables Takeda to maximize the value of our portfolio and gives us an immediate strong presence in the high-growth emerging markets while doubling Takeda’s European sales,” said Yasuchika Hasegawa, president and chief executive officer of Takeda. “Nycomed’s strength in a geographically wide range of markets and its diverse talent base will be a strong driver to helping us realize our important mission of striving toward better health for patients worldwide through leading innovation in medicine.”

“The combination of Takeda’s successful track record of innovation with Nycomed’s efficient commercialization and manufacturing infrastructure will create a global player with a phenomenal ability to bring medicines to patients and healthcare providers around the world,” said Hakan Bjorklund, chief executive officer of Nycomed.