Valeant Confirms Talks With Third Parties For Various Divestitures

(RTTNews) - Responding to media report on Gastroenterology business unit, Valeant Pharmaceuticals International Inc. (VRX, VRX.TO) confirmed that it is currently in discussions with third parties for various divestitures including but not limited to Salix. The discussions may or may not lead to a definitive agreement.

Valeant said it does not intend to comment further on market speculation or disclose any developments unless and until it otherwise deems further disclosure is appropriate or required.

VRX closes Tuesday regular trading at $23.86, up $6.02 or 33.74 percent. In the after-hours, the stock dropped $0.71 or 2.98 percent.

Earlier today the Wall Street Journal reported that Valeant Pharmaceuticals International Inc. is in advanced talks to sell a big stomach-drug business to Japan's Takeda Pharmaceutical Co. for about $10 billion.

The companies could reach a deal for Salix Pharmaceuticals Ltd., which Valeant bought just a year-and-a-half ago for roughly $11 billion, in the coming weeks, the Journal reported citing people familiar with the matter said. The purchase price would include about $8.5 billion in cash and future royalty payments to Valeant.

There is no guarantee the companies will reach a deal and, indeed, there is another unnamed potential bidder in the mix, the report said.