Bids for Bausch & Lomb distributor below expectations

According to a report in The Australian, rival bids from a private equity consortium and two trade buyers all came in at around $900 million, below the more than $1 billion expected by the company’s managent.The raining parties interested in a takeover are believed to be global pharmaceutical companies MundiPharma and Stada, and Australian private equity firms The Carlyle Group and Pacific Equity Partners – which have made  a joint bidThe lower than expected valuations are yet another blow for Valeant, which saw its share price drop to a 52 week low on the back of the news. Beleaguered by US regulatory probes, earnings disappointments, bad PR over lavish executive compensation, and various lawsuits, the company’s market cap now stands at about US$3.2 billion (AU$4.3 b) — a more than 95% decline from April 2015.Its understood Valeant is considering whether to withdraw iNova from the market, despite the apparent need to secure cash.Aside from Bausch & Lomb contact lenses, other popular brands under the iNova belt include Difflam lozenges and cold and cough medicine Nyal. Valeant made an upfront payment of $625 million in 2011 to acquire the business, followed by milestone payments totalling $75 million.Its estimated iNova generates around $100 million in annual revenue.