Otsuka Pharmaceutical Co., Ltd. (Otsuka) announces that the acquisition of Transcend Therapeutics, Inc. (Transcend) by its wholly owned subsidiary, Otsuka America, Inc. (OAI), has been completed, and that Transcend has become a wholly owned subsidiary of OAI.

Based on the terms of the agreement signed in March this year, Otsuka paid USD 700 million to the shareholders of Transcend as consideration for the acquisition of all outstanding shares of the company. In addition, Otsuka may pay up to USD 525 million in additional contingent consideration based on future sales related to assets in development.

Transcend, founded in 2021, is a clinical stage biotechnology company developing rapid-acting treatments for neuropsychiatric diseases. TSND-201 (methylone), which Transcend has been developing, is a rapid-acting neuroplastogen--an agent that induces rapid and durable neural plasticity in the brain--and is being advanced as a potential treatment for post-traumatic stress disorder (PTSD) and other psychiatric conditions. In the United States, more than 13 million individuals are estimated to be affected by PTSD each year¹, yet no new treatments have been approved for nearly 25 years, underscoring the significant unmet medical need.

TSND‑201 demonstrated favorable results in the Phase 2 clinical trial IMPACT-1, which enrolled adults with PTSD, and study findings were published in JAMA Psychiatryin February 2026.² The first Phase 3 trial to evaluate the safety and efficacy of TSND-201 for the treatment of PTSD, EMPOWER-1, is now being conducted in the United States with full study completion expected approximately at the end of 2027.

TSND‑201 was granted Breakthrough Therapy designation by the U.S. Food and Drug Administration (FDA) in July 2025. In April 2026, Transcend also received the Commissioner's National Priority Voucher from the FDA for TSND-201, which is intended to expedite approvals for products that align with critical U.S. national health priorities while maintaining FDA's rigorous scientific and regulatory standards.

By welcoming Transcend into its group, Otsuka will further accelerate the expansion of its portfolio as a global leader in the psychiatric and neurological fields. By combining Otsuka's long-standing strengths in this field with Transcend's innovative approaches, the two companies will work closely with regulatory authorities to steadily advance the development of next-generation therapies, including those for PTSD, and strive to deliver new treatment options to patients.

About Transcend Therapeutics

Transcend, founded in 2021 and based in New York City, is a clinical-stage, neuroscience-focused company developing rapid-acting treatments for neuropsychiatric diseases. The company's mission is to develop new drugs for the millions of people for whom current psychiatric medicines have not worked. Visit http://www.transcendtherapeutics.comfor more information.

About Otsuka

Otsuka Pharmaceutical Co., Ltd. is a total healthcare company that focuses on each individual's potential to enhance their well-being. Our medical-related business provides treatments and diagnostics for both physical and mental health. Our nutraceutical business supports daily health maintenance and improvement. Otsuka's unique products and services are based on scientific evidence, under the guidance of our corporate philosophy: Otsuka-people creating new products for better health worldwide.
For further information, please visit www.otsuka.co.jp/en/

• Reference
• 1. U.S. Department of Veteran Affairs. PTSD: National Center for PTSD.　https://www.ptsd.va.gov/understand/common/common_adults.asp
• 2. Jones et al., 2026, "Efficacy and safety of the neuroplastogen TSND-201 for the treatment of PTSD: A randomized clinical trial." JAMA Psychiatry. doi:10.1001/jamapsychiatry.2025.4625