Valeant upped the offer to $58.30 a share in cash from $48.30 a share and also included a contingent value right that could be worth an additional $7.6 billion. The stock portion of the offer stayed the same at 0.83 shares of Valeant for each share of Allergan.
The offer values Allergan at $49.44 billion, or $166.16 a share as of Tuesday's closing price of $165.02. This is approximately 8.6% greater than the previous bid of $47 billion, or $153 a share, on April 22 when Valeant and activist investor William Ackman first made an offer. Allergan rebuffed that proposal and said the Canadian company had overstated potential savings from the deal.
The stock was down 4.25% to $158 at 11:48 a.m.