Takeda Pharmaceuticals, ranked in the top 20 pharmaceutical companies in the world in sales, is seeking to grow its technological base with a merger by a $64 billion purchase of Ireland's Shire. Shire has until May 8 to answer Takeda's proposal.

The Japanese paper Asahi Shimbun touts this as a way that a Japanese pharmaceutical company could leap into the top 10 global pharmaceutical companies for sales, based on the assumption that its and Shire's sales would continue apace and be combined. Takeda has had vital IP interests in the technology for Takepron Capsules (for ulcers and other gastrointestinal acid troubles) and other products used globally. However, as its patents expire it has been seeking new core competencies, and Shire is known for developing medications for people with "rare diseases" like hemophilia and Hunter Syndrome.

Takeda's stock has taken a hit after the announcement. It is to be hoped that the deal works out well for both Takeda and Shire. Of course, mergers are far from the only way innovative revitalization may come to an organization. In today's global economy, with open innovation (discussed in a blog post by Taro Yaguchi last year) and other forms of technological transfer, there are plenty of ways that technology may be acquired from or sold to innovators in Japan and elsewhere.

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