Takeda and Schrödinger Announce Multi-Year, Multi-Target Research Collaboration

OSAKA, Japan & NEW YORK–(BUSINESS WIRE)– Takeda Pharmaceutical Company Limited (TSE:
4502) and Schrödinger Inc., a privately-held company dedicated to
revolutionizing drug discovery through advanced computational methods,
today announced the formation of a multi-target research collaboration
directed to diseases that align with Takeda’s core therapeutic areas of
interest. The unique collaboration will combine Schrödinger’s in
silico platform-driven drug discovery capabilities with Takeda’s
deep therapeutic area knowledge and expertise in structural biology.
With a focus on simplicity, speed and agility, Schrödinger will lead the
multi-target discovery effort with Takeda providing protein crystal
structures to aid Schrödinger in using its computational platform to
guide the design of new chemical entities. Schrödinger will be
responsible for its discovery costs.

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“Schrödinger’s agility, drug discovery track record and revolutionary
computational chemistry platform are key strengths that attracted Takeda
to Schrödinger as a strategic partner,” said Stephen Hitchcock, Ph.D.,
Head of Research for Takeda. “Takeda’s business model is focused on
creating mutually beneficial partnerships that capitalize on the
complementary capabilities of both parties in order to accelerate the
discovery of new therapies for patients. In this case, Schrödinger is
taking the lead role in discovery, with Takeda playing a supporting
role, leveraging its in-house structural biology team and therapeutic
area expertise.”

Under the terms of the collaboration, Takeda will have the option to
exclusively license the programs from Schrödinger later in discovery at
established economic terms, including pre-clinical, clinical, and
commercial milestones of up to $170M per program, as well as royalties
on future sales. Additional financial details are not being disclosed.

“We are very much looking forward to partnering with Takeda and
marshalling its biology and development expertise with our world class
computational chemistry and drug discovery capabilities to advance these
programs,” said Ramy Farid, Ph.D., Schrödinger’s President and Chief
Executive Officer. “This alliance allows us the opportunity to fully
exploit the power of our platform to accelerate the delivery of novel
therapeutics to patients.”

About Takeda Pharmaceutical Company

Takeda Pharmaceutical Company Limited is a global, research and
development-driven pharmaceutical company committed to bringing better
health and a brighter future to patients by translating science into
life-changing medicines. Takeda focuses its R&D efforts on oncology,
gastroenterology and central nervous system therapeutic areas plus
vaccines. Takeda conducts R＆D both internally and with partners to stay
at the leading edge of innovation. New innovative products, especially
in oncology and gastroenterology, as well as Takeda’s presence in
Emerging Markets, are currently fueling the growth of Takeda. More than
30,000 Takeda employees are committed to improving quality of life for
patients, working with Takeda’s partners in health care in more than 70
countries. For more information, visit www.takeda.com/news.

About Schrödinger

Schrödinger is a leading provider of advanced molecular simulations and
enterprise software solutions and services to accelerate and increase
the efficiency of drug discovery for its clients, which include all
major pharmaceutical and biotechnology companies worldwide, as well as
leading materials science researchers. Schrödinger also establishes deep
partnerships and collaborations with companies in such fields as
biotechnology, pharmaceuticals, chemicals, and electronics, and was a
cofounder of leading biotech companies including Nimbus Therapeutics,
Morphic Therapeutic, and Relay Therapeutics. Schrödinger’s investors
include David E. Shaw and Bill Gates. Through significant long-term
investments in basic research, Schrödinger has made scientific
breakthroughs across many areas of drug discovery and materials science.
Hundreds of peer-reviewed scientific publications by Schrödinger
scientists are frequently among the most heavily cited in their fields.
Founded in 1990, Schrödinger has over 300 employees and operations in
the United States, Europe, Japan, and India, as well as business
partners in China and Korea. For more information, please visit www.schrodinger.com.

Takeda’s Forward-Looking Statements

This press release contains “forward-looking statements.”
Forward-looking statements include all statements other than statements
of historical fact, including plans, strategies and expectations for the
future, statements regarding the expected timing of filings and
approvals relating to the transaction, the expected timing of the
completion of the transaction, the ability to complete the transaction
or to satisfy the various closing conditions, future revenues and
profitability from or growth or any assumptions underlying any of the
foregoing. Statements made in the future tense, and words such as
“anticipate,” “expect,” “project,” “continue,” “believe,” “plan,”
“estimate,” “pro forma,” “intend,” “potential,” “target,” “forecast,”
“guidance,” “outlook,” “seek,” “assume,” “will,” “may,” “should,” and
similar expressions are intended to qualify as forward-looking
statements. Forward-looking statements are based on estimates and
assumptions made by management that are believed to be reasonable,
though they are inherently uncertain and difficult to predict. Investors
and security holders are cautioned not to place undue reliance on these
forward-looking statements. Forward-looking statements involve risks and
uncertainties that could cause actual results or experience to differ
materially from that expressed or implied by the forward-looking
statements. Some of these risks and uncertainties include, but are not
limited to: required regulatory approvals for the transaction may not be
obtained in a timely manner, if at all; the conditions to closing of the
transaction may not be satisfied; competitive pressures and
developments; applicable laws and regulations; the success or failure of
product development programs; actions of regulatory authorities and the
timing thereof; changes in exchange rates; and claims or concerns
regarding the safety or efficacy of marketed products or product
candidates in development. The forward-looking statements contained in
this press release speak only as of the date of this press release, and
neither Schrödinger nor Takeda undertake any obligation to revise or
update any forward-looking statements to reflect new information, future
events or circumstances after the date of the forward-looking statement.
If one or more of these statements is updated or corrected, investors
and others should not conclude that additional updates or corrections
will be made.

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