Allergan BOD rejects latest Valeant offer

|About: Allergan plc (AGN)|By:, SA News Editor

Unsurprisingly, Allergan's (AGN) BOD rejects Valeant Pharmaceuticals' (VRX) latest offer of 0.83 shares of Valeant common stock plus $72 in cash for each share of AGN common stating that its offer substantially undervalues Allergan. It also cites the large component of VRX stock in the proposal. The Board believes its value is uncertain due to its perception of the lack of sustainability of VRX's business model.

Pershing Square believes it has the shareholder votes to override the Board's decision and accept the proposal.