Expect to see Valeant Pharmaceuticals International Inc. (NYSE: VRS, TSX: VRX) continue to expand in the skincare sector via M&A.
The company is currently competing with Merz Pharma Group to buy Obagi Medical Products Inc. (Nasdaq: OMPI). Valeant announced on March 20 a $360 million deal with Obagi. On April 2, Greensboro, N.C.-based Merz offered about $380 million, sparking a bidding war with Valeant over the coveted skincare company. Merz wasn't aware that the target was also in discussions with Valeant.