BUZZ-Valeant Pharma set for best day in 3 months; CEO to step down

Mon Mar 21, 2016 11:07am EDT
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** Canadian drugmaker's U.S.-listed shares up 10 pct at $29.60; Toronto-listed stock up 12.5 pct at C$39.31

** U.S.-listed stock rises as much as 17 pct, its biggest intraday percentage rise in 2016 so far

** Company says CEO Michael Pearson will step down, activist investor William Ackman is appointed to its board and that it uncovered accounting problems

** Valeant says its financial reports last year lacked necessary oversight and laid blame on chief financial officer and controller as well as its performance-based environment

** "We continue to view Valeant's collection of assets as weak and eroding, and do not expect a new management team to return the business to growth," Mizuho Securities analyst writes in note

** Shares of other specialty pharma companies also rise: Mallinckrodt Plc up 7.6 pct, Horizon Pharma Plc up 9.2 pct

** Up to Friday's close, Valeant's U.S.-listed stock had fallen 23 pct this year