Allergan, Inc. (AGN)’s Top Shareholders Sold The Stock Amid Takeover Talks

Allergan, Inc. (NYSE:AGN)‘s stock saw a massive upside in April when it was revealed that Valeant Pharmaceuticals Intl Inc (NYSE:VRX) was trying to buy the company with the help of Billionaire activist hedge fund manager Bill Ackman. The stock still trades higher than it used to trade in mid-April, even though in the period between April till now Allergan, Inc. (NYSE:AGN) has tried its best to stop getting acquired. Allergan, Inc. (NYSE:AGN) has also gotten into a messy fight with Valeant Pharmaceuticals Intl Inc (NYSE:VRX) and Ackman’s hedge fund, Pershing Square Capital Management LP, forcing the SEC to launch an investigation against both for insider trading. But, another development that happened between mid April and June 30, was that 68 of the top 100 Allergan, Inc. (NYSE:AGN)’s shareholders have either sold down their entire stake in the company or reduced it considerably, as the latest SEC 13F filing shows.

Allergan, Inc. (NYSE:AGN)

David Faber reported on the recent changes concerning Allergan, Inc. (NYSE:AGN) on CNBC recently.

“[...] Typically, you do get a significant change in the underlying share base of the company that is being sought, in this case that being Allergan, Inc. (NYSE:AGN) and the 13F show, again as of June 30th that that has taken place. The likes of CapRe [Capital Research Global Investors] which once owned over 18 million shares in the company owns nothing, it sold all of it [...],” Faber said.

Faber then mentioned other major funds that have either sold all of their stake or have reduced their exposure considerably. He also mentioned that the top 100 shareholders of Allergan, Inc. (NYSE:AGN) have reduced their stakes in the company from what represented about 42% of the outstanding shares to 23% and they have been replaced by event-driven funds.

“[...] Bill Ackman owns 9.7% of the stock, then you would need an additional, lets call it, 15 plus percent to be able to call that meeting [Special meeting of Allergan, Inc. (NYSE:AGN) shareholders]. What I am hearing is at this point, they are likely to receive at least 30% or more of the shares needed to call that special meeting [...],” Faber added.

Disclosure: None

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!