Taisho denies purchase speculation

Japan's Taisho Pharmaceutical, the country's leading producer of over-the-counter drugs, says that it has no concrete plans to buy Zepharma, a subsidiary of fellow Japanese firm Astellas Pharma and manufacturer of the stomach medicines Gaster 10, cold remedies such as Precol and Cakonal and the skin disinfectant Makiron.

The announcement followed speculation in the February 9 edition of the Asahi Shimbun newspaper which reported that Astellas and Taisho were in late-stage discussions relating to the acquisition. Both firms deny the story but say they are constantly exploring ways to improve their business' value.

Astellas' president, Toichi Takenaka, issued a statement saying that any options which would increase the firm's worth would be closely examined, including the possible sale of Zepharma.