Allergan announces takeover of SkinMedica

Allergan has agreed to purchase the topical aesthetics skin care business SkinMedica in a deal worth up to a potential $375 million (235.68 million pounds).

The agreement will see Allergan pay SkinMedica $350 million upfront for the business, which includes several non-prescription aesthetic skincare products and prescription products, plus an additional $25 million contingent on future sales.

It will not include the SkinMedica Colorescience aesthetic make-up line, which will be developed into an independent spin-off business following the conclusion of the transaction later this year.

The acquisition will complement Allergan's existing facial aesthetics portfolio, which includes products such as Botox, Juvederm and Latisse.

David Pyott, chairman of the board, president and chief executive officer at Allergan, said: "The acquisition will allow us to expand our product portfolio to better meet the needs of our existing base of physician customers and their patients."

Last month, Allergan posted its financial results for the third quarter of 2012, during which it delivered a product net sales total of $1.39 billion, up by 6.1 percent year on year.