Valeant/Bausch + Lomb

2. Buyer: Valeant
Target: Bausch + Lomb
Price: $8.7 billion

Valeant Pharmaceuticals ($VRX) has made many a deal since pickup-thirsty CEO J. Michael Pearson took up the reins in 2007. But none so far has topped May's $8.7 billion buyout of eye-care giant Bausch + Lomb.

Under the deal, the Canadian pharma paid owner Warburg Pincus $4.5 billion for the company and forked over another $4.2 billion to settle B + L's outstanding debt. Keeping Bausch's name, Valeant then folded it into its existing--and rapidly expanding--eye business, estimating the combined company could squeeze $800 million in costs.

For Pearson, the deal put an exclamation point on a series of eye-care pickups he's orchestrated in recent years. Having targeted it as a high-growth, high-priority field, he's built Valeant's eye business through buyouts of companies like Aton and Eyetech.

But with a sizable product lineup ranging from injectables to inhalants, anesthetics to diagnostics, and anti-infectives to anti-inflammatories, Bausch is easily his most significant addition. It helped Valeant tally $5.8 billion in 2013 revenue, a 66% hike over the year prior. And it will have to keep the growth going if Pearson wants to hit his stated target of cracking the top 5 drugmakers worldwide: Sanofi ($SNY) currently holds the No. 5 spot, with a market cap of $134 billion compared with Valeant's $47 billion.

For more:
Special Report: The most influential people in biopharma today - J. Michael Pearson - Valeant
Move over, Big Pharma. Valeant's CEO plans to elbow his way in
Valeant to fire thousands, restructure ops after Bausch buyout
Valeant scoops up Bausch + Lomb as it eyes $20B in revenues

-- Carly Helfand (email | Twitter)

Valeant/Bausch + Lomb
Read more on

Suggested Articles

Despite having lost some of its novelty, AZ's Brilinta is touting bleeding data over aspirin that could be a big break in acute coronary syndrome.

More than a year after J&J and Bayer pulled the plug on Xarelto in patients after a rare valve replacement, the pair are still seeking answers.

Having already whiffed on one crucial heart failure trial, Novartis is focusing on "profound" data from its Entresto studies in hopes for another go.