Allergan tells investors to shun Valeant’s $52bn takeover offer

 
Oliver Smith
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ALLERGAN, the pharmaceutical company that makes Botox and breast implants, advised shareholders yesterday to reject Valeant Pharmaceuticals’ latest hostile takeover offer, which valued the firm at around $52bn (£30.5bn).

Allergan chairman David Pyott said the bid “is grossly inadequate, substantially undervalues Allergan, and is not in the best interests of Allergan and its stockholders”.

Valeant’s cash and share offer, which Allergan’s board considered over the weekend, has fallen in value from $179.25 per Allergan share last month when the offer was first made to $173.90 last week, due to the decline in Valeant’s share price.

Allergan said its advisers Goldman Sachs and Bank of America Merrill Lynch told the board on 21 June the offer was inadequate from a financial point of view.

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