Equiniti Group Plc (LON:EQN) is delighted to have completed the settlement of Shire’s acquisition by Takeda, breaking multiple records as the biggest corporate action in Japanese history.
Takeda is the largest pharmaceutical company in Japan and has acquired Irish-based biotechnology business Shire, which was listed on the London Stock Exchange, for £46Bn in cash and shares. The transaction and the settlement to shareholders was completed on 22nd January 2019.
The transaction was one of the most complex cross-border schemes of arrangement ever completed, particularly around the collection of shareholders instructions. This included electing for Sterling or Dollar cash consideration, and/or shares in Takeda held in either a Japanese Securities Depository (utilising a Japanese custodian facilitated by Equiniti), or in American Depository Shares in the Depository Trust Company.
In addition to these election instructions, shareholders could opt for their new Takeda shares to be held in the US in the Direct Register format or in the UK in the form of CREST Depository Interest.
A settlement mechanism of this type, with its unprecedented complexity, required the creation of a fiduciary arrangement involving Equiniti, Shire and Takeda’s financial adviser.
As part of Equiniti’s bespoke service, Gavin Lane, Senior Operations Director, and Jon McLean, Senior Manager of Corporate Advice, visited Tokyo in September 2018 to support and advise Takeda and Shire on the technical elements of the settlement mechanics.
Gavin Lane, Senior Operations Director at Equiniti, commented,
“We are delighted to have assisted Takeda with their takeover of Shire. Our industry leading corporate action team has managed and delivered a pedigree service throughout, in line with our reputation as the most experienced administrator for executing highly complex, global transactions.”
“We are very pleased to serve Takeda as a new Equiniti client and very much look forward to working with them.”