Shine trader live reports:
Takeda Pharmaceuticals (TAK.US), Asia’s largest pharmaceutical company, plans to repurchase up to 100 billion yen (US$881 million) of stock. This is the company’s first share repurchase in more than 10 years. Takeda Pharmaceutical said the current stock price provides a buying opportunity.
Takeda Pharmaceutical said in a statement on Thursday that between November 2 and April 29 next year, the company will repurchase as many as 35 million shares, representing 2.23% of the issued shares. This is the company’s first share buyback announcement since November 2008.
Costa Saroukos, Chief Financial Officer of Takeda Pharmaceuticals, said the company’s current stock price provides a good buyback opportunity. Saroukos also stated that the repurchase will not affect the company’s debt reduction plans or the ability to achieve other goals by the end of the 2023 fiscal year.
He said that Takeda Pharmaceuticals will also maintain its current dividend policy and update its capital allocation policy to allow more stock repurchases at an appropriate time in the future.
The company also announced earnings for the first half of the fiscal year. After accounting for the sale of diabetes drugs to Teijin Pharma Ltd., operating profit for the six months ended September increased by 60% to 346 billion yen. Revenue increased by 13% from the same period last year to 1.79 trillion yen.
As of press time, Takeda Pharmaceutical rose 0.14% pre-market to $13.84. Year-to-date, the stock has fallen more than 24%.
Reprint indicated source：Spark Global Limited information