On January 29, 2021 Takeda Pharmaceutical Company Limited (TSE:4502/NYSE:TAK) ("Takeda") reported the completion of its previously-announced sale of a portfolio of select products sold in Latin America to Hypera S.A. ("Hypera Pharma") for a total value of $825 million USD (Press release, Takeda, JAN 29, 2021, View Source [SID1234574427]). This divestment agreement was first announced in March 2020.

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The divested portfolio includes select over-the-counter and prescription pharmaceutical products sold in Brazil, Mexico, and other South American, Central American and Caribbean countries, which are part of Takeda’s Growth & Emerging Markets Business Unit (GEM BU). The products, while addressing key patient needs in these countries, are outside of the business areas Takeda has designated as core to its global long-term growth.

Close to 300 Takeda commercial employees will transition with the divested portfolio at close. As part of a manufacturing and supply agreement, Takeda will continue to exclusively manufacture the divested products.

Takeda intends to use the proceeds from the sale to reduce its debt and accelerate deleveraging towards its target of 2x net debt/adjusted EBITDA within Fiscal Years 2021–2023.

Takeda exceeded its $10 billion non-core asset divestiture target in 2020, announcing 11 deals since January 2019 to date for a total aggregate value of up to approximately $11.6 billion.