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Allergan Signs Deal with Acatvis

$66 billion deal shuts the door on Valeant-Ackman bid for Botox maker.

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By: Christine Esposito

Editor-in-Chief

It is Actavis plc—not Bill Ackman and Valeant Pharmaceutical—that will buy Allergan, the company behind Botox. The Dublin, Ireland and Parsippany, NJ-based pharma company and Allergan, Inc. announced a definitive agreement under which Actavis will acquire Allergan in a deal valued at approximately $66 billion.

The combination will create one of the top 10 global pharmaceutical companies by sales revenue, with combined annual pro forma revenues of more than $23 billion anticipated in 2015.

In addition to Botox, Allergan’s roster includes dermal filler product Juvederm, eyelash treatment Latisse and Prevage MD and Vivité skin care.

The transaction has been unanimously approved by the boards of directors of Actavis and Allergan, and is supported by the management teams of both companies, the companies announced.

Valeant and Ackman had made a hostile bid for Allergan.

“This acquisition creates the fastest growing and most dynamic growth pharmaceutical company in global healthcare, making us one of the world's top 10 pharmaceutical companies,” said Brent Saunders, CEO and president of Actavis.

“This combination will greatly enhance our U.S. and international commercial opportunities,” said Paul Bisaro, executive chairman of Actavis. “In the U.S., the combination makes us more relevant to an even broader group of physicians and customers. Overseas, it will enhance our commercial position, expand our portfolio and broaden our footprint in Canada, Europe and Southeast Asia and other high-value growth markets, including China, India, the Middle East and Latin America.” 

The combined company will be led by Brent Saunders, CEO and president of Actavis, and Paul Bisaro will remain executive chairman of the board. The integration of the two companies will be led by the senior management teams of both companies, with integration planning to begin immediately in order to transition rapidly to a single company. Additionally, two members of the Allergan board of directors will be invited to join the Actavis board following the completion of the transaction.
      

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