A member of the family which founded Takeda Pharmaceuticals, has criticised the group’s takeover of Shire (LON:SHP), The Sunday Times has reported. The news comes with shareholders in the Japanese group looking to block the $62-billion tie-up.
Shire’s share price has been little changed in London this morning, having inched 0.04 percent lower to 4,283.00p as of 08:46 BST. The decline is largely in line with the broader UK market, with the benchmark FTSE 100 index currently standing 0.07 percent lower at 7,272.64 points. The group’s shares have added more than six percent to their value over the past year, as compared with about a 1.4-percent dip in the Footsie.
Takeda family opposes tie-up
The Sunday Times reported yesterday that Kazu Takeda, a member of a group of shareholders fighting to overturn the Japanese group’s takeover of Shire, had said that the deal would have ‘disastrous’ consequences for the business and risked distancing it from the corporate philosophy of ‘Takeda-ism,’ which holds that profit comes from making people happy.
The group of small shareholders, operating under the name Thinking about Takeda’s Bright Future, wants to block the tie-up which is set to create a pharma giant with combined annual sales of $31.2bn and 49,230 employees.
“We understand that scaling up is necessary, but Takeda management has to think about the traditional corporate culture and the health of the company,” Kazu Takeda pointed out. The newspaper, however, notes that few analysts think the group will gain enough support to overthrow the vote.
Analysts on FTSE 100 drugmaker
Berenberg lowered its stance on Shire to ‘hold’ last week, while hiking its price target on the shares from 4,500p to 5,000p. According to MarketBeat, the blue-chip group currently has a consensus ‘buy’ rating and an average price target of 4,725.30p.