NEW YORK (AP) -- Cephalon Inc. said Friday that its shareholders should reject nominees proposed by Valeant Pharmaceuticals International Inc., which is trying to acquire Cephalon.
Cephalon said its current board of directors is in the best position to bring value to shareholders. It said Valeant's nominees don't have an obligation to act in the best interest of Cephalon shareholders and may not be in a position to serve their best interests. The company also suggested that Valeant's nominees could have conflicts of interest.
Valeant, a Canadian drugmaker, has offered to buy Cephalon for $5.7 billion, or $73 per share. Cephalon refused to enter into negotiations, and Valeant took its offer public in late March. Cephalon turned the offer down on Tuesday, saying it was too low. On Wednesday, Valeant nominated its own slate of seven directors to Cephalon's board.
Cephalon, of Frazer, Pa., makes the sleep disorder drugs Provigil and Nuvigil and cancer drug Treanda. Its shares rose 8 cents to $76.59 in midday trading, while Valeant stock rose $2.12, or 4.1 percent, to $54.07.
Cephalon said its current board of directors is in the best position to bring value to shareholders. It said Valeant's nominees don't have an obligation to act in the best interest of Cephalon shareholders and may not be in a position to serve their best interests. The company also suggested that Valeant's nominees could have conflicts of interest.
Valeant, a Canadian drugmaker, has offered to buy Cephalon for $5.7 billion, or $73 per share. Cephalon refused to enter into negotiations, and Valeant took its offer public in late March. Cephalon turned the offer down on Tuesday, saying it was too low. On Wednesday, Valeant nominated its own slate of seven directors to Cephalon's board.
Cephalon, of Frazer, Pa., makes the sleep disorder drugs Provigil and Nuvigil and cancer drug Treanda. Its shares rose 8 cents to $76.59 in midday trading, while Valeant stock rose $2.12, or 4.1 percent, to $54.07.