Valeant Pharmaceuticals and activist investor Bill Ackman have unveiled details of their offer to buy Botox maker Allergan, proposing a cash-and-stock deal that could be worth about $45 billion.
Each Allergan share would be exchanged for $48.30 in cash and 0.83 shares of Valeant Pharmaceuticals International Inc. common stock. Shareholders can choose a mix of cash and stock.
Allergan Inc. stockholders will own 43 percent of the combined company.
Ackman's Pershing Square Capital Management LP — Allergan's biggest stockholder at 9.7 percent — has agreed to take only stock in the transaction.
Valeant is one of Canada's largest pharmaceutical companies. Allergan is based in Irvine, Calif.
Allergan's shares jumped more than 20 percent in premarket trading. Valeant's stock rose more than 9 percent.