Valeant sells Provenge unit and skin-care brands to raise cash

Montreal-based Valeant has sold off a number of assets in multiple transaction to raise more than $2 billion to shore up its debt-laden balance sheet.

The Montreal-based pharmaceutical giant has sold skin-care brands CeraVe, AcneFree and Ambi to French cosmetics conglomerate L'Oreal to raise $1.3 billion.

Founded in 2005, CeraVe develops cleansers, moisturizers and baby products, and is one of the fastest-growing active skin care brands in the United States, L'Oreal said.

AcneFree provides acne treatments and skin cleansers, while Ambi makes products to treat dark spots and brighten skin.

In a separate deal, the drug company is selling its interest in Dendreon Pharmaceuticals to Chinese company Sanpower for $819.9 million. Dendreon's only commerical product right now is the drug Provenge, a vaccine for prostate cancer treatment.

"With this sale, we are better aligning our product portfolio with Valeant's new operating strategy by exiting the urological oncology business, which is one of our non-core assets," Valeant CEO Joe Papa said in a press release.

Valeant was briefly Canada's most valuable company. However, the drug maker lost 90 per cent of its value after an accounting scandal emerged last year, when a short seller accused the company of overstating sales to make them appear to be higher than they really were.