Oct 30 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
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
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.