Valeant raises cash portion of Allergan offer; bid values company at US$54.5B
MONTREAL – Valeant Pharmaceuticals International, Inc. (TSX:VRX) raised its offer for Allergan Inc. for the second time in less than a week.
The company is now offering US$72 in cash and 0.83 shares of Valeant common stock for each Allergan share.
That’s up from an offer of US$58.30 and 0.83 of a Valeant share made just days ago.
The new bid values Allergan’s shares at about US$183.25 per share and the company at roughly US$54.5 billion. Allergan shares were trading up $10.47 at $168.97.
Under the bid, Allergan’s largest shareholder, Bill Ackman’s Pershing Square Capital Management, has also agreed to accept less for its Allergan shares than other shareholders.
Pershing Square, which holds a 9.7 per cent stake, has agreed to forgo any cash and receive 1.22659 Valeant shares for each Allergan share.
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