From a 97 10-Q:
"In June 1992, the Company entered into a joint venture with Ligand
Pharmaceuticals Incorporated ("Ligand") for the research and development and
commercial exploitation of pharmaceutical products based on retinoid technology.
Each company agreed to contribute $15 million to the venture over three years.
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Allergan Pharmaceuticals (Ireland) Ltd., Inc. ("Allergan Ireland") also
purchased, in conjunction with the formation of the joint venture and through
1994, equity interests in Ligand for approximately $24 million, including the
exercise of warrants in 1993. William C. Shepherd, Chairman, President and Chief
Executive Officer of the Company through December 31, 1997, became a director of
Ligand shortly after the formation of the joint venture. Mr. Shepherd resigned
this directorship on October 3, 1997.
In June 1995, Allergan Ligand Retinoid Therapeutics, Inc. ("ALRT")
succeeded to the operations of the joint venture. Mr. Shepherd became a director
of ALRT and Dwight J. Yoder, Senior Vice President, Controller and Principal
Accounting Officer of the Company, became the Chief Financial Officer of ALRT.
ALRT was funded by contributions of $50 million from the Company, $17.5 million
from Ligand, and $32.5 million gross proceeds from a subscription offering to
the stockholders of the Company and Ligand (the "Subscription Offering"). In
connection with the completion of the Subscription Offering and the funding of
ALRT, Allergan Ireland purchased $6 million of the Common Stock of Ligand.
On September 24, 1997, the Company and Ligand announced that Ligand would
exercise its option to purchase all of the outstanding callable Common Stock of
ALRT and the Company would simultaneously exercise its option to purchase an
undivided one-half interest in all of the assets of ALRT for a cash payment to
Ligand of $8.9 million. The Company and Ligand also announced that they had
agreed to restructure the terms and conditions relating to their agreements
concerning the assets and technology formerly belonging to ALRT following
exercise of the options. At the closing of the ALRT option exercises on November
21, 1997, the Company paid Ligand $8.9 million and gave Ligand specified
royalty, license and other contractual rights to certain compounds formerly
belonging to ALRT. The Company received from Ligand $4.5 million which
represented payments related to compounds licensed to Ligand and $5.5 million
from ALRT which represented one-half of the cash in ALRT at the closing as well
as specified licenses, royalties and other contractual rights related to
compounds that had belonged to ALRT or to Ligand."
I read as 2-2.5 million shares. Enough to make a dent in the daily sales for a long time.
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