Takeda Pharmaceutical Co. said Monday that it would acquire Syrrx Inc., a privately held California biotechnology company working on treatments for cancer and diabetes.
Takeda, Japan's largest drug maker, will buy San Diego-based Syrrx for about $270 million in cash, the company said.
The purchase of Syrrx will enable Takeda to gain access to innovations in medical research. Takeda had made it clear it was also keen to have a research base in the U.S., the world's largest pharmaceutical market.
"We have a pressing need to strengthen our new drug development," Takeda President Yasuchika Hasegawa said.
Syrrx has diabetes drugs in the early clinical trial and preclinical trial stages. It also has several drugs for cancer treatment in preclinical trial stages.
Syrrx Chairman Samuel D. Colella said he was happy his company would be joining the Takeda group with its global marketing network.
The final acquisition cost will be set after due diligence on Syrrx's assets and liabilities. The purchase is expected to be completed in March after regulatory approval.