| June 14
June 14 An executive vice-president of Valeant
Pharmaceuticals International Inc will leave the
company, even as the Canadian drugmaker fends off criticism
about management turnover from its takeover target Allergan Inc
Executive vice-president and company group chairman Ryan
Weldon will leave, Valeant confirmed late on Friday after
inquiries by Reuters. Like Chief Executive Mike Pearson, Weldon
previously worked for management consulting firm McKinsey & Co.
Valeant said Weldon's departure was planned, and takes
effect after it completes a $1.4 billion sale of several
injectable treatments to Nestle SA.
The sale was made to allay potential anti-trust concerns about
Valeant's takeover bid for Allergan.
"Although his leadership will be missed, the company has
created and developed a strong management team and I am
confident Ryan will assist us successfully through this
transition period," Pearson said in a statement.
Weldon called his six years at Valeant "extraordinary" and
said it was a privilege to work with Pearson and the rest of the
Weldon exits as Allergan has criticized Valeant's
"significant management turnover" and accused the Laval,
Quebec-based company of lacking the experience to manage complex
In a May 27 investor presentation, Allergan said that of the
current management team, only Pearson and general counsel Robert
Chai-Onn were in executive officer positions three years ago.
Pearson answered that criticism and others the next day, in
a 3-1/2 hour meeting with investors and analysts in New York.
"We make those changes through people that we bring in
through our acquisitions, we go outside for key talent and we
continue to look to upgrade the talent," Pearson said. "We think
this is a strength, not a weakness in terms of our business
Valeant and its ally Pershing Square Capital Management -
Allergan's biggest shareholder - have offered to buy the Botox
maker for $53 billion in cash and shares. Allergan has rejected
the offer and refused to negotiate, leading Pershing to move
toward replacing most of Allergan's board at a special meeting.
Valeant's Toronto-listed stock has fallen nine consecutive
sessions, losing 12 percent since touching a three-week high on
May 30, when it made its most recent revised offer for Allergan.
Talk circulated last week that ValueAct Capital Management,
one of Valeant's biggest shareholders, was selling its stock,
but ValueAct was quoted by Bloomberg on Friday saying this was
California-based Allergan has lost ground in seven of the
last nine sessions.
(Reporting by Rod Nickel in Winnipeg, Manitoba and Olivia Oran
in New York, editing by David Evans)