Valeant Begins Tender Offer for Allergan Hostile Takeover

Valeant Pharmaceuticals International Inc. today began a tender offer to acquire the shares of Allergan Inc., the maker of Botox, the first move in its attempted hostile takeover of the drugmaker.

Valeant’s $54 billion cash-and-stock bid partly depends on Irvine, California-based Allergan removing anti-takeover defenses triggered if any one entity gains 10 percent or more of the company’s stock. It will be followed by an effort to replace most of the board and force a merger with Laval, Quebec-based Valeant. Valeant has teamed with Bill Ackman, who heads hedge fund Pershing Square Capital Management LP and took a 9.7 percent stake in Allergan to drive the deal.