Valeant Pharmaceuticals ($VRX) isn't pussyfooting around Medicis. As the built-by-acquisition Canadian company wrapped up its deal for Medicis last week, some 200 employees were told to pack their bags.
In a bid to beef up its dermatology business, Valeant snapped up Medicis for $2.6 billion, closing the deal last Tuesday. Valeant officials said they planned to save $225 million in integrating the two companies' operations, by eliminating duplicate functions and positions, The Republic reports.
So, Valeant has cut the Medicis payroll accordingly. The laid-off employees worked in finance, legal, investor relations and other headquarters departments, Spokeswoman Laurie W. Little told the Arizona newspaper. She wouldn't confirm the exact number of jobs cut, but said the total was probably "a couple hundred."
Valeant has been snapping up smaller drugmakers one by one over the last couple of years--and cutting jobs and shutting facilities as it brings them into the fold. Early this year, Valeant said it had cut $320 million since it merged with Biovail in fall 2010, by shutting 11 facilities and earmarking 1,100 jobs for deletion. The company announced that it would cut a further $200 million in 2012 as it absorbed more recent acquisitions--and that was before the Medicis deal.
- read the Republic coverage