December 1, 2005

1 Min Read
Allergan Prevails in Contested Battle to Acquire Inamed

In a pitched and convoluted battle to acquire breast-implant manufacturer Inamed Corp. (Santa Barbara, CA), Allergan Inc. (Irvine, CA) has emerged as the victor.

Last March, Inamed accepted a $2.8 billion offer to be acquired by Medicis Pharmaceutical Corp. (Scottsdale, AZ), a manufacturer of prescription acne and skin medications. But in mid-November, Allergan suddenly upped the ante with a $3.2 billion bid. The situation was further complicated by an unsolicited and somewhat underpowered move from Inamed competitor Mentor Corp. (Santa Barbara, CA) to acquire Medicis for $2.2 billion.

Shacknai

Medicis' Shacknai: No bidding war.

The bid by Allergan, which currently develops pharmaceutical products for the ophthalmic, neurological, dermatological, and other markets, ultimately proved to be too rich for Medicis to counter. Citing the advice of the company's board, outside counsel, and financial analysts, Medicis chairman and CEO Jonah Shacknai said, “We have concluded that it is in the best interests of Medicis shareholders not to raise our offer for Inamed.”

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