Valeant Raises Allergan Takeover Bid

Shares of Valeant Pharmaceuticals Intl Inc VRX and Allergan, Inc. AGN are in play Monday following an announcement that Valeant is prepared to raise the takeover offer for Allergan above $200 per share.

On Monday, Allergan reported upbeat third quarter financial results and raised full year 2014 guidance.

On Monday, in a letter to Allergan, Valeant stated, "we are prepared to make an offer of $200 a share" based on its confidence that "an increase in our stock price, and in consideration, will provide that value."

In response, Allergan stated, "Delivering value to Allergan's stockholders remains the Board's highest priority. If Valeant were to make an increased offer, the Board would carefully consider it and respond in due course. However, to date, as we have noted repeatedly, Valeant's offers have been grossly inadequate and significantly undervalued Allergan."

Shares of Allergan were down 0.16 percent, while shares of Valeant were up 0.74 percent.