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White Case advises JBIC on loan for acquisition of Shire plc

Global law firm White & Case LLP has advised the Japan Bank for International Cooperation (JBIC) in relation to its loan agreement with Takeda Pharmaceutical Company Limited (Takeda), amounting up to US$3.7 billion (JBIC’s portion), to finance part of the funds required for acquiring Shire plc (Shire) in Ireland.

The total amount required for acquisition is approximately £46 billion. The loan is co-financed by private financial institutions, bringing the total co-financing amount to US$15.7 billion equivalent. The loan supports the overseas business deployment of Takeda by providing necessary long-term foreign currency funds for M&A by the Japanese company, assisting its overseas expansion of existing business, as well as new business deployment, and contributing to maintaining and strengthening the international competitiveness of Japanese industries.

Through the acquisition of Shire, Takeda aims to strengthen two focus areas – gastroenterology and neuroscience – as well as establishing a leading position in pharmaceuticals for rare diseases and plasma-derived therapies, which can accelerate transformation to a global R&D-driven pharmaceutical company headquartered in Japan. In addition, Shire has a large sales proportion in the US market, which is the largest market in the world and projected to continue to grow at a high rate. The acquisition will therefore drive further growth overseas and is expected to make Takeda one of the top ten pharmaceutical companies in the world based on sales.

The White & Case team which advised on the transaction was led by partners Toshio Dokei and Simon Collins (both Tokyo), and included partners Philip Broke and Jacqueline Evans (both London), supported by associates Keisuke Nishimura (Tokyo) and Christopher Beardmore (London).