Pharmaceutical Business review

Taisho offers to buy BMS’ UPSA consumer health business for $1.6bn

Taisho offers to buy BMS’ UPSA consumer health business for $1.6bn

UPSA is a French pharmaceutical manufacturer, which develops and produces pharmaceutical drugs and supplements for everyday ailments.

The company provides various products in therapeutic areas, including pain, cough and cold, vitamins and supplements, gastrointestinal and sleep

UPSA mainly supplies consumer medicines for patients in France, Europe and other countries.

Taisho has entered into a put option agreement with BMS to acquire UPSA. As per terms of the agreement, the offer is subject to BMS’ exercise of the put option following information and consultation processes with relevant employee representative bodies.

BMS and Taisho will sign a definitive stock and assets purchase agreement upon exercise of the put option.

Subject to regulatory approvals and satisfaction of certain other customary closing conditions, the deal is expected to be completed in the first half of 2019.

Bristol-Myers Squibb chairman and CEO Giovanni Caforio said: “Today’s announcement marks the culmination of an in-depth strategic review to identify the best option to grow the UPSA business for the long-term.

“UPSA is a strong business that deserves the best possible opportunities for its employees and its future development. With Taisho we have found an experienced and reliable buyer with the strategic interest to successfully sustain and grow the business for the future.”

Taisho is a Japanese over-the-counter (OTC) drug firm, which provides medicines under anti-inflammatory analgesic, cold and flu and hair growth segments in Japan and Southeast Asia.

With the acquisition of PT Squibb Indonesia from BMS, Taisho entered the OTC market in certain Asian countries.

The PT Taisho Pharmaceuticals Indonesia is the subsidiary of Taisho, which is currently carrying out operations in these countries.

BMS has been realigning its business portfolio over the past several years to make changes in its business and meet the future requirements of its expanding pipeline.

The firm is currently engaged in the discovering, development and delivery of transformational medicines to treat patients with serious diseases.