Takeda Pharmaceutical Co has completed its 9.6 billion euro acquisition of Nycomed and appointed Frank Morich as the latter's chief executive.

Mr Morich, who will also continue in his current role as head of international operations (Americas/Europe) at Takeda, said that the combined company "significantly broadens our coverage of the global pharmaceutical market to more than 70 countries". He added that it increases the expanded group's "global Rx sales ranking to 12th…further strengthening our position in the industry".

The Osaka-based group, which is strong at home and in the USA, says Nycomed enjoys "a significant business infrastructure in Europe and high-growth emerging markets". The acquisition will also bring "an immediate and stable increase in cash flow generated from annual revenue of more than 2.8 billion euros".

Sales boost of 30%

Takeda noted that the integration of Nycomed should push up its sales target of 1.27 billion yen (about $16.48 billion) for fiscal 2013 sales by more than 30%, while its 280 billion yen target for operating income for the same period (excluding acquisition-linked items) is expected to be boosted by more than 40%.

Yasuchika Hasegawa, Takeda's chief executive, said "the combination of both organizations will…enable us to sustain medium and long-term growth targets starting in fiscal 2015 and extending into the next decade". The deal will "further increase our potential to become a truly global pharmaceutical company".

Nycomed's outgoing chief executive Hakan Bjorklund is to retire from the firm, but will remain "a strategic advisor for some time following close", while the firm's head of commercial operations, Guido Oelkers, has been appointed CEO of the Swedish medtech group Gambro.

When asked by PharmaTimes World News if there were any details yet about restructuring plans, Nycomed spokesman Tobias Cottman said the strength of the transaction "lies in our complementary capabilities and was not predominately driven by synergies". The annual cost efficiency estimated is 30 billion yen ($389.2 million) within three years, he added.