The $300m transaction is expected to increase profitability of the brand for BLS which had previously been the exclusive distributor in the US, and expands BLS’ geographic rights to include Canada.
Valeant CEO J Michael Pearson said the current distribution agreement between GSK and BLS was problematic for both companies and this new arrangement should solve this issue for both organizations.
"We believe that our sales and marketing organizations in the US and Canada have the ability to revitalize and grow the brand," Pearson said.
The transaction is subject to customary closing conditions, including Hart-Scott-Rodino regulatory clearance in the US.
Valeant develops, manufactures and markets a broad range of pharmaceutical products primarily in the areas of neurology, dermatology and branded generics.