Insight journal, Insight journal - Dealtalk

Will Allergan join Valeant’s list of acquisitions?

Posted on 07 May 2014

Tags: , , ,

Allergan is currently the subject of much speculation as Valeant Pharmaceuticals looks to acquire it. Valeant Pharmaceuticals, well known for building its company via acquisitions, put in a $46 billion bid one week ago to acquire Californian based botox maker Allergan.

Allergan however doesn’t seem to be interested in the bid and has met it with hostility.  Industry analysts believe that Allergan doesn’t think the bid is high enough and will demand a higher price, and that Valeant must up its bid in order to complete the deal.

In the meantime now that Allergan knows it is being seen as a possible acquisition target for some of the big pharma companies and isn’t happy with the offering price from Valeant it has reportedly approached both J&J and Sanofi to see if either of them would be interested in buying them for a higher value.

If this wasn’t enough to deter Valeant, Allergan has also showed signs of interest in Ireland based Shire Pharmaceuticals for a possible takeover; a move that if completed would hopefully make them too large for acquisition by Valeant.

We will have to see whether Valeant significantly increases its bid to avoid Allergan being scooped up by another big pharma company willing to pay a higher price for it.

Other deals and news in recent days amongst big pharma companies include:

These and other recent deals continue the theme of consolidation and specialization taking place amongst the top pharma companies as they seek to focus resources to maximize return on R&D investment.

Raveena Bhambra

 

Related

Report: Partnering Deals and Alliances with Big Pharma

Report: Merger and Acquisition Terms and Agreements

Report Partnering Agreements with Valeant 2009-2014

Report: Partnering Agreements with Allergan 2009-2014

Print Friendly, PDF & Email

Leave a Reply