The board of Cold-FX flu remedy maker Afexa Life Sciences Inc. (FXA-T0.73----%) has given its final stamp of approval to a friendly $76-million takeover bid by Valeant Pharmaceuticals International Inc. (VRX-T40.74-1.43-3.39%).
Afexa said Friday it has also named William White as its interim chief executive officer, to replace current CEO Jack Moffatt after his contract expires on Sept. 30.
Afexa said the Valeant bid trumps an earlier $56.7-million hostile offer by Montreal's Paladin Labs (PLB-T34.990.702.04%) in value and its independent advisers have deemed it a fair one. The Edmonton-based company has until Sept. 29 to entertain any competing bids that might arise.
“The board has been aggressively pursuing a variety of strategic alternatives and has determined that supporting the Valeant offer on these terms is in the best interests of Afexa,” the company said in a statement.
Valeant has said the acquisition of Afexa would boost its lineup of non-prescription, over-the-counter offerings, which include the Dermaglow and CeraVe skin-care products.
Cold-FX has been promoted by Olympic figure skating champion Joannie Rochette and TV personality and former NHL coach Don Cherry. Besides Canada, Cold-FX is now available in Hong Kong and there are plans to have it sold in the United States, China and Japan, significantly increasing the company's revenues.
Valeant is a multinational, specialty pharmaceutical company that develops, manufactures and markets a range of drugs.