Takeda Pharmaceutical Company (Japan) has completed its acquisition of Switzerland’s Nycomed for EUR 9.6 billion ($12.9 billion) on a cash-free, debt-free basis. In addition, Takeda has named Frank Morich, Takeda’s executive vice-president of internal operations (Americas/Europe), as Nycomed’s CEO. Morich will take on the role of CEO in addition to his current role.

“I look forward to bringing Takeda and Nycomed together to ensure we can achieve enhanced revenue, growth, and diversification, while maintaining the strong momentum of both companies,” said Morich in a press statement. “The combined company significantly broadens our coverage of the global pharmaceutical market to more than 70 countries, increasing our global Rx sales ranking to 12th and further strengthening our position in the industry.”

According to the press statement, the transaction fits with Takeda’s sustainable growth strategy, which the company outlines in its 2011–2013 Mid-Range Plan (MRP). Takeda has a presence in the Japanese and US markets, while Nycomed has infrastructure in both Europe and the emerging markets, which Takeda believes will enhance its development expertise and commercialization capability. The acquisition will also provide Takeda with an immediate cash boost generated from Nycomed’s annual revenue of more than EUR 2.8 billion ($3.7 billion) and enhance the JPY 1260 billion ($16.4 billion) of projected FY 2013 sales in the MRP by more than 30%.

“The combination of both organizations will strengthen Takeda’s performance during the 2011–2013 MRP period, and enable us to sustain medium and long-term growth targets starting in fiscal 2015 and extending into the next decade,” Yasuchika Hasegawa, president and CEO of Takeda, said in the statement.

The combined company will have a commercial presence in metabolic diseases, gastroenterology, oncology, cardiovascular health, central nervous system diseases, inflammatory, and immune disorders, respiratory diseases and pain management areas, as well as a presence in Japan, North America, Europe, and the emerging markets.

The acquisition was announced in May 2011, and the transaction was unanimously approved by each company’s board of directors.