The US pharmaceutical company Allergan, known for their Botox, agreed an Actavis bid of 53 billion euros, they permanently passed up the proposition of Valeant Pharmaceuticals International and the activist investor William Ackman.
The Allergan-Actavis entity will have a diversified portfolio of medicines and generic, especially in dermatology, gynecology and ophthalmology. It should generate about €19 billion in sales annually, making it one of the world’s leading pharmaceutical companies.
The Botox whose active ingredient is the botulinum toxin, is a substance produced by bacteria which paralyzes the muscles. The market is exploding worldwide, especially in the US, where the injection to erase facial wrinkles was approved in 2002 by the FDA (Food and Drugs Administration). More than 4 million botox injections were performed in 2012 in the United States and it is still increasing.
Moreover, Allergan had previously rebuffed Valeant Pharmaceuticals and activist investor William Ackman’s Pershing Square Capital Management, which together had been pursuing it for months.