(Reuters) - Canadian drugmaker Valeant Pharmaceuticals International Inc (TO:VRX) (N:VRX) raised the cash component of its offer for Botox-maker Allergan Inc (N:AGN), valuing the U.S. firm at $49.44 billion (29.51 billion pounds).
Valeant on Wednesday offered to pay $58.30 per Allergan share in cash, about $10 higher than its previous offer of $48.30. The stock component of the offer remains the same at 0.83 of a Valeant share for each Allergan share.
The new offer values Allergan at $166.16 per share as of Tuesday's closing price, and is about 8.6 percent higher than the previous bid of $153 as on April 22 when Valeant first made its offer.
That offer, by Valeant and activist investor Bill Ackman, was worth $47 billion and was spurned by Allergan, which said the Canadian company had overstated the possible savings from the deal.
Valeant's offer on Wednesday is also lower than the price of $180-$200 per share that investors were looking for, according to an investor survey taken last week.
The new offer also includes a contingent value right of up to $25 per share related to the sales of Darpin, Allergan's experimental eye drug that is seen as a potential competitor to Regeneron Pharmaceuticals Inc's (O:REGN) highly successful medicine Eylea.
Allergan on Tuesday built its case with investors for rejecting Valeant's offer, one day before Valeant's scheduled webcast to explain its case.
Separately, Valeant said on Wednesday that it would sell some of its skincare treatments business, including facial fillers for treating wrinkles, to Nestle SA (VX:NESN) for $1.4 billion in cash.
Allergan shares have risen 16 percent since Valeant's initial offer to close at $165.02 on Tuesday on the New York Stock Exchange.
Valeant's U.S.-listed shares have risen a little over 3 percent in that same period to close at $129.95 on Tuesday.
(Reporting by Esha Dey in Bangalore; Editing by Savio D'Souza)