Allergan says exploring sale of obesity business
Oct 30 (Reuters) - Allergan Inc said it was exploring a sale of its obesity business on falling sales of the only product in the unit.
Sales of Lap-Band fell 21 percent to $122.7 million, while sales of most of Allergan's products increased during the third quarter.
The unit accounted for about 4 percent of Allergan's total revenue in 2011.
The company expects sales of $160 million from its obesity intervention products unit for the full year. It sees total product net sales of between $5.69 billion and $5.77 billion.
U.S. health regulators recently approved two weight loss drugs, after a gap of 13 years, underlining the mounting pressure on the Food and Drug Administration to approve treatments for obesity as about two-thirds of Americans are considered overweight or obese.
Lap-Band, which was first approved by the FDA in 2001, has an inflatable band placed around the stomach through a minimally invasive surgery, creating a pouch that limits or reduces food consumption.
The company posted a profit of $249.4 million, or 82 cents per share, in the third quarter compared with $249.8 million, or 81 cents per share, a year earlier.
Adjusting for charges that include restructuring, research and development, and amortization of acquired intangible assets, the company earned $1.06 per share.
Revenue rose 6 percent to $1.4 billion.
Analysts were expecting a profit of $1.04 per share, excluding special items, on revenue of $1.43 billion, according to Thomson Reuters I/B/E/S.
Shares of the Irvine, California-based company, which has a market capitalization of $21.18 billion dollars, closed at $91.64 on Friday on the New York Stock Exchange.
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