Pharma BD Deal Intelligence

Takeda Pharmaceutical Company Ltd. / Ariad Pharmaceuticals

2017 · Acquisition/Merger · $5.2B · Complete

CALLED IT — OFF BY 16

Iclusig became a durable niche hematology earner, but brigatinib (Alunbrig) — the deal's real thesis at $1B+ peak-sales projection — was crushed by Alecensa and never came close, leaving a weak return on the $5.2B price.

Full analysis, sources & comparables →

The coverage arc

Jan 09, 2017 BioPharma Dive Bullish

Takeda's $5.2B Ariad bid, announced at JPMorgan, signals an aggressive oncology buildout — pairing marketed Iclusig with near-term launch asset brigatinib.

Jan 09, 2017 GEN — Genetic Engineering & Biotechnology News Neutral

Takeda projected the acquisition would be accretive to Underlying Core Earnings by FY2018, framing the deal as a strategic expansion of its global oncology and…

Jan 10, 2017 Morgan Stanley MUFG (via Newsweek) Bearish

Morgan Stanley MUFG analyst Shinichiro Muraoka cautioned that Iclusig and brigatinib sit in the 'third-fourth order groups' of their respective markets and…

Source summaries from our enrichment pipeline; follow links for originals.

All 5 sources with sentiment breakdown →

Takeda agreed to acquire ARIAD for $24.00/share in cash, an enterprise value of approximately $5.2B representing a ~75% premium. The deal expanded Takeda's oncology and hematology business with two targeted therapies: marketed Iclusig in CML and Phase 3 brigatinib in NSCLC. Acquisition completed February 16, 2017.

Did it work? Outcome assessment

Iclusig became a durable niche hematology earner, but brigatinib (Alunbrig) — the deal's real thesis at $1B+ peak-sales projection — was crushed by Alecensa and never came close, leaving a weak return on the $5.2B price.

Strategic verdict
Partially Achieved
Financial impact
Neutral
Pipeline outcome
Assets Advanced

Key facts

Related deals — scored

DealYearValueOutcome
Takeda Pharmaceutical Company Ltd. / Ariad Pharmaceuticals (this deal)2017$5.2B47
Takeda Pharmaceutical Company Ltd. / Nimbus Lakshmi2022$6.0B82
Takeda Pharmaceutical Company Ltd. / Millennium Pharmaceuticals2003$8.8B82
Takeda Pharmaceutical Company Ltd. / Ariad Pharmaceuticals2003$5.2B77
Takeda Pharmaceutical Company Ltd. / Nycomed2011$13.7B72
Takeda Pharmaceutical Company Ltd. / Millennium Pharmaceuticals2008$8.8B68
Takeda Pharmaceutical Company Ltd. / Denali Therapeutics Inc.2018$1.2B64

Compare all 7 side-by-side →

See the full interactive analysis, sources & comparables →