Takeda to Acquire Paradigm Therapeutics

12 March 2007

OSAKA, JAPAN and CAMBRIDGE UK
Takeda Pharmaceutical Company Limited ("Takeda") today announced that Takeda and Paradigm Therapeutics Limited ("Paradigm") agreed on March 12, 2007 to the acquisition of Paradigm by Takeda. Financial terms were not disclosed. Subject to completion, which is expected to occur within a few weeks, Paradigm will become a subsidiary of Takeda Europe Holdings B.V., a wholly owned subsidiary of Takeda. Additionally, Paradigm will be renamed Takeda Cambridge Limited, and Paradigm's subsidiary in Singapore will be renamed Takeda Singapore Pte Limited.

Founded in 1999 by University of Cambridge researchers, Paradigm has established world-class target identification and validation capabilities based on genetic engineering and in vivo pharmacology. Using their capabilities, Paradigm has already developed a promising pipeline of novel drug discovery targets and compounds in key areas of unmet medical need including pain, CNS disorders, prostate and breast cancer, diabetes, hyperlipidemia, and obesity.

With this merger, which replaces and builds upon Takeda and Paradigm's 2005 CNS therapeutic area alliance, Paradigm’s technologies and researchers will be integrated into Takeda and will help to accelerate multiple scientific processes such as the validation of drug targets derived from genomic research, the creation of animal models reflecting the human pathologic conditions, and the optimization of drug candidates.

Nomura Securities, Nomura International and Nomura Code provided a fairness opinion on Paradigm in relation to this transaction.