Allergan Inc. (NYSE:AGN) hopes to acquire Salix Pharmaceuticals Ltd. (NASDAQ:SLXP)

Salix Pharmaceuticals Ltd. (NASDAQ:SLXP) and Allergan Inc. (NYSE:AGN) are once again discussing a potential acquisition deal. This news is not entirely new because the discussions for this acquisition started back in July this year. Reliable sources reported that this acquisition deal was offered by Allergan so that it could avoid a very hostile offer from Valeant Pharmaceuticals International Inc. (VRX).

Unidentified sources claim that negotiations between Allergan Inc. (NYSE:AGN) and Salix Pharmaceuticals Ltd. (NASDAQ:SLXP) went cold because Salix demanded more than what Allergan was willing to pay for the deal. Even though discussions are open again but it is too soon to say whether some agreement will be made between the two parties or not; therefore no immediate result of these discussions should be expected at this point. Salix Pharmaceuticals Ltd. (NASDAQ:SLXP) stock ended yesterday’s trading at a value of $10 billion.

Allergan Inc. (NYSE:AGN)’s main goal for making an offer to Salix was to save itself from hostile takeover from Valeant. This acquisition will require Valeant to spend more money in order to acquire Allergan, which might force Valeant to rethink its decision.

Valeant is not the only company interested in Allergan Inc. (NYSE:AGN). Actavis Plc. also expressed an interest in acquiring Allergan back in August. The offer made by Actavis was as unappealing to Allergan as the one made by Valeant. Actavis also believes that this acquisition can help them grow in the pharmaceutical sector.

Allergan Inc. (NYSE:AGN), Salix Pharmaceuticals Ltd. (NASDAQ:SLXP) and Actavis representative refused to comment on their current position in the matter.

David Pyott, CEO of Allergan Inc. (NYSE:AGN) said that Allergan currently has many options when it comes to acquisitions.

Valeant sought help from Pershing Square Capital Management LP’s Bill Ackman back in April to have its offer worth $54 billion accepted by Allergan; the $54 billion was to be paid in cash and stock. However Allergan turned the offer down after which Valeant made two more offers that were higher than the initial one.

Allergan Inc. (NYSE:AGN)’s stock went up by 50% in 2014. The closing value of its shares on Monday was $166.12, which made its total market value worth $51 billion. On the other hand Salix went up by 78% in 2014; the company is currently in the process of a merger with Cosmo Pharmaceuticals SpA – an Italian Drugmaker company.

Cosmo’s CFO Chris Tanner said that they have no idea about the discussions going on between Allergan and Salix. Cosmo’s merger with Salix may come to a halt if the deal between Salix and Allergan gets finalized.

Tanner believes that Cosmo’s merger with Salix will be a good move for the company; however at the moment they are not letting the current scenario affect their day to day operations.

Allergan Inc. (NYSE:AGN) stock opened today at a value of $166.95 and at 10:53 am EDT was trading at a value of $170, after taking a jump up by 2.33%. The stock’s market cap is 50.50 B whereas its inst. ownership is 94%. Allergan Inc. (NYSE:AGN)’s range over 52 weeks has been between 88.34 and 174.49.