New York, NY, United States (4E) – Valeant Pharmaceuticals International Inc. raised its takeover bid for Botox-maker Allergan Inc. by offering around $52.7bn in cash and stock, helped by its bid partner William Ackman’s offer for a price cut on his own Allergan shares.
Since the Canadian pharmaceutical giant made its public offer last month, Allergan has repeatedly rebuffed Valeant’s approach. Earlier this week, a sweetened proposal was offered by Valeant, which Allergan said it was considering.
The latest bid gives most Allergan shareholders an additional $13.70 per share in cash, raising the total offer to $ 179.25 per share. Wednesday’s offer was valued at $166.16, disappointing Wall Street analysts as they had thought it was too small.
Allergan said it would review Valeant’s most recent offer. Like the previous one, the new bid also includes a right for Allergan shareholders to receive up to an additional $25 per share, tied to the future revenue of Allergan’s eye-treatment that is currently in a developmental stage.