Valeant to acquire skin care company

ALISO VIEJO, Calif. Valeant Pharmaceuticals International, which develops, manufacturers and markets pharmaceutical products primarily in the areas of neurology and dermatology, has agreed to acquire skin care company Private Formula International Holdings Pty Limited.

Through the acquisition, Valeant is acquiring global rights to the Dr. LeWinn's skin care line; Hissyfit, a newly launched anti-aging skin care line; and Revitanail (known as Renunail in the United States and U.K.), a line of nail strengtheners.

Under the agreement, at closing Valeant will pay about $69 million and will issue 162,500 shares of Valeant common stock. These shares will be placed in escrow for four years and will be subject to indemnity claims from Valeant.

The deal is expected to close in early October.

"This acquisition will allow Valeant Australia to become a leading dermatology company in Australia with brands that are complementary to our current portfolio and will dramatically increase our presence in the pharmacy OTC channel. We believe that Dr. LeWinn's strong brand recognition and wide distribution network will provide us with a solid platform for continued growth in Australasia," J. Michael Pearson, chairman and CEO of Valeant.