Takeda reportedly purchasing Abbott's stake in TAP for $5 billion

TOKYO According to a report by the Nikkei business daily, Takeda Pharmaceuticals has agreed to buy out Abbott Laboratories' stake in their joint venture, TAP, in a deal worth $5 billion.

TAP, whose main product is the heartburn drug Prevacid, had sales of about $1.5 billion in the April-September period last year. Prevacid’s patent will expire next year, although TAP is seeking approval for a modified release version of the drug, which it hopes will fend off generic competition. The company also sells the prostate cancer drug Lupron and the sleeping pill Rozerem.

Takeda plans to merge TAP with wholly-owned firm Takeda Pharmaceuticals North America, it said.

Takeda spokesman Seizo Masuda said the drug maker had made no decision on buying TAP. Abbott declined to comment.