Biotech Values

[DewDiligence]

AGN—Apparently Bill Ackman is teaming up with Valeant to offer a takeout bid. Just reported by a CNBC news flash.

Well, Botox is AGN’s most profitable product by a wide margin, and the competitive landscape for Botox just got more secure.

Still, I question whether VRX can digest so many acquisitions in a short time without botching the effort. Moreover, I don’t think David Pyott is ready to retire, so I wonder what role Ackman and VRX have in mind for him.

All told, this deal is an underdog to be consummated, IMHO.