Valeant Confirms To Buy Women's 'viagra' Maker Sprout Pharmaceuticals For About $1 Billion

Valeant Pharmaceuticals International Inc. said it has agreed to buy Sprout Pharmaceuticals Inc. for about $1 billion in cash, confirming a story in The Wall Street Journal earlier. Valeant will pay $500 million in cash upon the closing of the deal, and another $500 million in the first quarter, plus a share of future profits upon the achievement of certain milestones. The deal is expected to close in the third quarter. Sprout is the maker of the first drug that aims to boost a woman's libido to receive full regulatory approval in the U.S. Valeant shares are up 92% in the year so far, while the S&P 500 has gained just 1%.