Valeant ups Allergan bid, divests wrinkle assets for $1.4B

Valeant Pharmaceuticals International Inc. (TSX:VRX; NYSE:VRX) made a new bid for Allergan Inc. (NYSE:AGN) which values Allergan at up to $57.8 billion. The new offer keeps the stock component of 0.83 Valeant shares for each Allergan share, but raises the cash portion to $58.30 per share from $48.30 and adds a $25 contingent value right (CVR) tied to sales of Allergan's Phase II ophthalmic program AGN-150998. The cash and stock portions are a 15% premium to Allergan's close of $142 on April 21, before Valeant disclosed plans for the bid. Valeant's previous offer valued Allergan at about $47 billion. Allergan's board is reviewing the proposal; it unanimously rejected the prior bid (see BioCentury Extra, May 12).

Separately, Valeant said it will sell its dermal fillers and toxins to Nestle S.A. (SIX:NESN) for $1.4 billion in cash. The aesthetics portfolio includes full rights to Sculptra injectable poly-L-lactic acid and U.S. and Canada rights to several products Valeant gained in its 2012 acquisition of Medicis Pharmaceutical Corp.: Dysport abobotulinumtoxinA and hyaluronic acid dermal fillers Restylane, Perlane and Emervel. Valeant did not disclose sales of the products but said the purchase price "was more than five times sales." ...