Allergan Inc. said on its filing of sales reports today that Valeant Pharmaceuticals International Inc. will likely have a 15 % increase in its sales for the third quarter yet but it will have a tough time trying to surpass the sales results of 2013 reports.
This is also the same third-quarter expectations of the Valeant Pharmaceutical’s Chief Executive Officer Michael Pearson but he’s not happy with the way Allergan is attacking the company. The maker of Botox anti-wrinkle injections, Allergan, has made criticisms of the acquisition-based business model of Valeant Pharmaceuticals as it tries to fend off the $51 billion hostile bid of the drug maker and remove most of the directors of the company in a planned shareholder’s meeting on December 18.
It can be remembered that a letter was sent by Pearson to Allergan CEO David Pyott and Independent Director Michael Gallagher that he’s disappointed with the way Allergan continues to attack Valeant without any basis at all. Pyott and Gallagher only said that they are apprehensive about the sustainability of the business model of Valeant which, according to them are built generally on acquisitions and that its financial reports are ‘opaque’.
It is expected that Valeant Pharmaceuticals will file soon as it’s a week year-ago third quarter sales for the contact lens manufacturer Baush & Lom which it bought in October of last year for $8.7 billion as the filing data showed.
Valeant, a Canadian company, isn’t likely to provide any last quarterly forecast, but it stated that it is kind of expecting the same, just a continuous double digit increase in sales. While Allergan already had its expectations on what Valeant Pharmaceuticals would show on its third quarter sales, the company is yet to report its earnings on the 20th of October. This time around, the results should clearly show Valeant’s performance as it did slow down its acquisitions while it’s trying to pursue Allergan.
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