Allergan to acquire Inamed

Botox producer Allergan has signed a merger agreement with rival Inamed Corporation.

Shareholders in Inamed will be offered either 0.8498 of an Allergan share or $84 in cash, valuing the company at $3.2 billion (?1.8 billion). Inamed has also terminated its licence for Ipsen Ltd’s Reloxin botulinum toxin in a step to please regulatory authorities.

Allergan was the victor in a takeover battle between itself and Medicis Pharmaceutical Corp, which had offered $2.8 billion. The latter firm broke out of the deal last week after Allergan had offered a substantially larger value for the company.

“We are delighted to have entered into a definitive merger agreement with Allergan and look forward to realizing the benefits of the proposed acquisition,” said Inamed chief executive Nicholas L Teti.

David E I Pyott, chief executive of Allergan, added: “With the execution of a termination agreement regarding Reloxin, we are moving rapidly to clear all regulatory hurdles and obtain Federal Trade Commission and other governmental clearances to consummate the acquisition.”

Inamed’s board had unanimously backed Allergan’s offer, recommending that shareholders approve the deal.

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