Takeda to acquire Brazilian firm Multilab

Takeda has revealed details of its plan to acquire Brazilian pharmaceutical firm Multilab.

Under the terms of an agreement signed by the two companies, Takeda will pay 500 million Brazilian real (159.9 million pounds) in cash upfront and up to 40 million Brazilian real in future milestone payments.

According to the Japanese firm, the acquisition of Multilab will make it one of Brazil's top ten pharmaceutical businesses.

With annual net revenues of 140 million Brazilian real last year, Multilab manufactures drugs such as the nation's leading over-the-counter cold and flu remedy Multigrip.

Jostein Davidsen, corporate officer and head of commercial operations in emerging markets at Takeda, said the company has "ambitious plans" for expansion in developing economies.

"This acquisition significantly reinforces Takeda's position in Brazil, which is the world's sixth largest economy and the biggest in South America," he added.

Last year saw Takeda complete its acquisition of Switzerland's Nycomed for $13.7 billion (8.7 billion pounds), which was said to be the second largest outbound purchase by a Japanese company.