Pershing Square Activist Presentation Deck
We Believe Valeant's Current Stock Price Does
Not Reflect the Full Value of the Offer
We believe Valeant's current stock price does not reflect the
anticipated value of the combined entity, including synergies,
and therefore serves as a poor measure to evaluate the offer
► Valeant management believes the transaction delivers immediate
accretion of ~25% to Valeant's 2014 EPS on a pro forma basis(¹)
■ We believe transaction uncertainty created by Allergan's
obstructionism has kept Valeant's stock price from reflecting the
transaction's benefits
► We believe merger arbitrage activity has affected Valeant's stock
price
(1)
■ Short interest is 4x the average level prior to deal announcement
■ Arbitrage investors require compensation for uncertainty and time
value of money
Based on EPS of $8.55-$8 80 standalone and $10.69-$11.00 pro forma (Valeant management estimates-May 28, 2014 and June 2, 2014, respectively)
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