Allergan has admit securities law violations and will pay a $15 million penalty for disclosure failures in the wake of a hostile takeover bid.

Allergan was represented by John Savarese at Wachtell Lipton in New York.

The Securities and Exchange Commission’s order finds that Allergan failed to disclose in a timely manner its negotiations with potentially friendlier merger partners in the months following a tender offer from Valeant Pharmaceuticals International and co-bidders in June 2014.

Allergan publicly stated in a disclosure filing that the Valeant bid was inadequate and it was not engaging in negotiations that could result in a merger.

It was required to amend the filing if a material change occurred.

According to the SEC’s order, Allergan never publicly disclosed material negotiations it entered with a different company that would have made it more difficult for Valeant to acquire a larger combined entity.

And after those negotiations failed, the investing public wasn’t informed that Allergan entered into merger talks with Actavis, the company that ultimately acquired Allergan, until the announcement that a merger agreement had been executed.

”Allergan failed to fully and timely disclose information about potential merger transactions it was negotiating behind the scenes in response to the Valeant bid,” said Andrew M. Calamari, Director of the SEC’s New York Regional Office.  ”As outlined in our order, Allergan was slow to act even after SEC staff reminded the company about its disclosure obligations.”