Valeant Pharmaceuticals Annonces New $1.5 Billion Securites Repurchase Program
MONTREAL, Nov. 19, 2012 /CNW/ - Valeant Pharmaceuticals International, Inc.
(NYSE: VRX and TSX: VRX) announced today that its board of directors has
authorized a new securities repurchase program (the "Securities Repurchase
Program"). Under the Securities Repurchase Program, which commenced November
15, 2012, the Company may make purchases of up to $1.5 billion of its senior
notes, common shares and/or other debt or shares that may be issued prior to
the completion of the program. The Securities Repurchase Program will replace
the Company's former securities repurchase program, which expired on November
Valeant's Board of Directors also approved a sub-limit for the repurchase of
Valeant common shares of the greater of 10% of the Company's public float or
5% of the Company's issued and outstanding common shares, in each case
calculated as of the date of the commencement of the Securities Repurchase
Program. On the date of the commencement of the Securities Repurchase Program,
the Company had approximately 303,442,994 common shares outstanding. Valeant
intends to initially make purchases of up to 15,172,149 common shares on the
open market through the facilities of the New York Stock Exchange (NYSE),
representing approximately 5% of the Company's issued and outstanding common
shares. Subject to completion of appropriate filings with and approval by the
Toronto Stock Exchange (TSX), the Company may also make purchases of its
common shares over the facilities of the TSX. Such purchases of common shares
will be made at prevailing market prices of such shares on the NYSE or the
TSX, as the case may be, at the time of the acquisition and shall be made in
accordance with the respective rules and guidelines of the NYSE and the TSX.
All common shares purchased under the Securities Repurchase Program will be
The amount of securities to be purchased and the timing of purchases under the
Securities Repurchase Program may be subject to various factors, which may
include the price of the securities, general market conditions, corporate and
regulatory requirements, alternate investment opportunities and restrictions
under the Company's financing agreements. The securities to be repurchased
will be funded using Valeant's cash resources. The Securities Repurchase
Program will terminate on November 14, 2013 or at such time as Valeant
completes its purchases. The program does not require Valeant to repurchase a
minimum number of securities, and the Securities Repurchase Program may be
modified, suspended or terminated at any time without prior notice. Valeant's
Board of Directors believes that the proposed purchases are in the best
interests of the Company and are a desirable use of corporate funds.
On November 8, 2011, Valeant commenced its former securities repurchase
program, which terminated on November 7, 2012. Under that securities
repurchase program, the Company purchased 6,792,311 of its common shares for
aggregate consideration of $345.8 million, a total of $2.4 million principal
amount of its 5.375% Convertible Notes for aggregate consideration of $7.9
million, a total of $34.5 million principal amount of its 6.50% Senior Notes
due 2016 for aggregate consideration of $34.3 million, a total of $45.4
million principal amount of its 6.875% Senior Notes due 2018 for aggregate
consideration of $45.0 million and a total of $10.0 million principal amount
of its 7.00% Senior Notes due 2020 for aggregate consideration of $9.5 million.
About Valeant Valeant Pharmaceuticals International, Inc. (NYSE/TSX:VRX) is a
multinational specialty pharmaceutical company that develops, manufactures and
markets a broad range of pharmaceutical products primarily in the areas of
dermatology, neurology and branded generics. More information about Valeant
can be found at www.valeant.com.
Forward-looking Statements This press release may contain forward-looking
statements, including, but not limited to, the Company's intention to
repurchase its debt and equity securities. Forward-looking statements may
generally be identified by the use of the words "anticipates," "expects,"
"intends," "plans," "should," "could," "would," "may," "will," "believes,"
"estimates," "potential," "target", or "continue" and variations or similar
expressions. These statements are based upon the current expectations and
beliefs of management and are subject to certain risks and uncertainties that
could cause actual results to differ materially from those described in the
forward-looking statements. These risks and uncertainties include, but are not
limited to, market factors affecting the price and liquidity of debt and
equity securities, the satisfaction by Valeant of applicable laws to allow it
to repurchase its securities, the availability of capital including the amount
of cash generated from Valeant's business, the existence of alternative uses
for Valeant's cash and the risk factors as detailed from time to time in
Valeant's reports filed with the Securities and Exchange Commission and the
Canadian Securities Administrators.
The Company cautions that the foregoing list of important factors that may
affect future results is not exhaustive. When relying on Valeant's
forward-looking statements to make decisions with respect to the Company,
investors and others should carefully consider the foregoing factors and other
uncertainties and potential events. Valeant undertakes no obligation to update
or revise any forward-looking statement, except as required by law.
Contact Information: Laurie W. Little 949-461-6002 firstname.lastname@example.org
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SOURCE: Valeant Pharmaceuticals International, Inc.
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