Saturday, May 23rd8.9°C
26402
26319

Pershing files documents for special meeting aimed at ousting Allergan directors

NEW YORK, N.Y. - Pershing Square Capital Management has formally asked Allergan shareholders to support its bid for a special meeting to remove six directors and allow Valeant to proceed with its hostile takeover bid.

The activist investment firm controls a 9.7 per cent stake in Allergan and has said in the past it hoped to call a meeting after teaming up with Valeant Pharmaceuticals (TSX:VRX) in its takeover attempt.

Pershing has now filed documents with the U.S. Securities and Exchange Commission asking shareholders to back the meeting. Investors holding at least 25 per cent of Allergan's shares need to support the call for a special meeting for one to be held.

In the filing, Pershing argues that shareholders see substantial value in Valeant’s revised proposal, but says Allergan's board has refused to engage with Valeant "in any way" when it comes to the merger and has made it difficult to gather the required support through company bylaws that it claims are too onerous.

Valeant says it "fully supports" Pershing Square's efforts to call the meeting because it would give shareholders the right forum to express their views on the offer.

Allergan has repeatedly refused to meet with Valeant to discuss its more than US$50-billion stock-and-cash bid, arguing the US$72 in cash and 0.83 of a Valeant share for each Allergan share undervalues the company and creates significant risks and uncertainties for its shareholders.

In a statement Monday, Allergan called the meting request "a further attempt by co-bidders Pershing Square and Valeant to acquire Allergan at a grossly inadequate price that substantially undervalues the company."

"Today’s announcement also fails to address the serious concerns raised by Allergan and important members of the investment community about Valeant’s anemic organic growth driven by unsustainable price increases, among other fundamental business model issues,” the company said.

The Canadian Press


Read more Business News

25528


Recent Trending




Today's Market
S&P TSX15200.76-2.85
S&P CDNX703.48+2.97
DJIA18232.02-53.72
Nasdaq5089.36-1.43
S&P 5002126.06-4.76
CDN Dollar0.8142-0.0053
Gold1205.70+1.30
Oil57.45-1.98
Lumber273.30+3.70
Natural Gas2.885-0.064

 
Okanagan Companies
Pacific Safety0.13-0.01
Knighthawk0.010.00
QHR Technologies Inc1.48+0.03
Cantex0.03-0.01
Anavex Life Sciences0.425+0.053
Metalex Ventures0.09+0.01
Russel Metals25.79-0.03
Copper Mountain Mining1.38-0.03
Colorado Resources0.105+0.005
ReliaBrand Inc0.0048-0.0049
Sunrise Resources Ltd0.04+0.01
Mission Ready Services0.175-0.010
Decisive Dividend Corporation2.20+0.60

 



26180

FEATURED Property
22799176010 Old Kamloops Rd
$1,600,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Do or do not

Photo: Thinkstock.com“The optimist sees the rose and not its thorns; the pessimist stares at the thorns, oblivious of the rose.” - Kahlil Gibran Good planning is all about managing chan...


Penetrate the smokescreen

Photo: ContributedHas this ever happened to you? You’re in the middle of your second or third “good discussion” with a prospect. Everything’s going great. The prospect seems en...


Squaring the circle

Photo: Thinkstock.comI have been reading about market segmentation and choice. Howard Moskowitz’s research into tomato sauce as retold by Malcom Gladwell on the TED talks (http://www.ted.com/tal...

_



25482

26418


Member of BC Press Council


25771