Takeda's Interest Likely To Flush Out Further Shire Suitors

As Takeda discloses that it is considering making a bid to acquire Shire, other big pharma companies look likely to assess their own interest in the firm. Pfizer and AbbVie are among those that may lay their cards on the table.

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Takeda may emerge as a suitor for Shire: but will it be alone? • Source: Shutterstock

Takeda Pharmaceutical Co. Ltd.'s statement that it is considering making an approach to Shire PLC may force the hand of other big pharma companies. Several firms, including Pfizer Inc. and AbbVie Inc., are viewed as in the market for larger transactions as they face increased pressure on their current growth prospects, and Shire's position at the lower end of the large biopharma set makes it a more digestible, but still transformative target for the biggest companies in the sector.

Furthermore, with Takeda already carrying debt and of a similar market cap size to Shire, it is quite possible that any offer it eventually decides to make will be outbid should another firm decide also to act opportunistically on Shire's current low valuation

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