Valeant Pharmaceuticals Intl Inc (NYSE:VRX) (TSE:VRX) made it official today. Many analysts and pundits had speculated that Valeant would make a hostile takeover offer for Allergan, Inc. (NYSE:AGN) given it had already been rebuffed twice, and the company made its move today, announcing an exchange offer calling on Allergan shareholders to vote their proxies for a special meeting to discuss the buyout offer.

valeant Allergan

Allergan refusing to negotiate

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) (TSE:VRX) and Bill Ackman‘s Pershing Square Capital Management have been trying to buy Allergan for some months. Botox maker Allergan declined an initial buyout  offer on April 22nd, saying that the acquirers’ plans to slash spending would reduce growth and cost shareholders in the long run. Allergan, Inc. (NYSE:AGN) management and board of directors has refused to enter negotiations on a possible buyout to date.

Furthermore, just last week, Allergan, Inc. (NYSE:AGN) rejected a sweetened $53 billion takeover offer from Valeant and activist investor Bill Ackman, saying the offer undervalues the firm and adds significant risk for shareholders.

Statement from Valeant CEO

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) (TSE:VRX) Chairman and CEO J. Michael Pearson explained the decision to go hostile in a conference call Tuesday. “It is clear Allergan and their board will never sit down in the interest of their shareholders,” If Allergan were as confident as they claim to be they should be happy to have a shareholder vote right away.”

Pearson went on to say that “hostile is not our preferred approach,” but said the acquisition is clearly in the best interests of the shareholders of both companies.

Valeant Pharmaceuticals Intl Inc (NYSE:VRX) (TSE:VRX) is trading up $3.75 today, with a current price of $121.50 as of 12:10 PM ET.

Allergan, Inc. (NYSE:AGN) is also moving up smartly, currently trading up $2.63 at $162.00 as of 12:10 PM ET.