move on to valeant.aleant pharmaceutical says it's prepared to raise it's a cash and stock offer to allergan to at least $200 a share. the ceo pierson said allergan shares wouldn't be trading at current multiples. allergan raising full year guidance, posted getter than exed. q3 earnings. we got a preview of the earnings a few weeks back. david pyott one of jim's guests on "mad money" 6:00 p.m. eastern. i've been following this closely. also joined later by robert kindler from morgan stanley, the banker representing valeant in this offense -- >> what a great interview. i'll be listening to everything you say. one of the precepts in the valeant deal, listen mr. allergan, david pie out, your stock would not nowhere if we frankly weren't around. >> they want to say, we apply 15 multiple to your stock, we'd get into allergan. it's probably worth more than 15 multiple, allergan, given numbers putting up. >> they asked this growing large pharma -- >> they'll say 140, 150, it's still not -- they believe that val

we're going to ask him about the ongoing allergan valeant cycle as well. and rising stars. nathaniel august is going to be here as well. s&p 500 back above the 200 day moving average. but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running. >>> we're here again with green light capital's co-founder and president david einhorn. let's talk about sun edison and --. two stocks you invested in for a while. >> sun edison control s terra form. >> you believe that can go to 32 dollars share. >> yes. >> why do you make the case now. >> it's very complicated financial situation but as the very simple story and i kind of like the way that goes together. because the complicated financial situation means a lot of people misunderstand the company. they look at the balance s

he made misleading statements about valeant and ignored outside advisers when he called valeant's offer problematic. allergen has been working for months but all efforts have been rejected. carolin is going to tell us more about this deal. before we get to that, carolin, a big deal for shine and this break-up. >> shire's ceo has been officially terminated. abbvie is blaming the treasury for the dealing. meanwhile, allergan shareholder policy is stepping up pressure on the bow textmaker to make its own offer for shire. you've been following this story for as long as it's been on our minds for the last couple of months. how much money is going to change hands now that this deal has fallen through? >> well, we've got $1.6 billion which is payable to shire by the close of business today. but that's not really where this story ends, i think, because you're seeing so much more action from these activist investors. we've got john paulson who is better known for making great calls in 20307. who is coming in, he's a big shareholder in both allergan and shire. he's not apparently urging them to m

note worthy too that michael pearson the ceo of valeant was walking in this morning as well. he'll be at the hearing in orange county as well. and back to you. >> a know a lot of people in your space are watching that. >>> tesla, late yesterday the "wall street journal" reporting rough numbers for the auto maker. reporting sales of the model s through september fell 20% year over year. didn't take too long for ceo elon musk to dispute that. quote the article is incorrect. september was a record high and up 65% year over year in north america. tesla doesn't report monthly sales. it only reports on a quarterly basis. the next time being early november. kevin o'leary, what do you make of the fact that ceo's can now just take to twitter to dispute anything they see in the press? >> i like the transparence but my advice is to follow the metrics of the auto industry t majority of which report on a monthly basis. i see no downside in him doing that. and i think total transparence in his case is a good thing. most people are very synthetthe sympathetic to the challenges he has in dis

valeant pharmaceuticals beat estimates. revenue slightly below forecast. us now is michael pearson, ceo of valeant. let's talk about the earnings. here's the questions for you. you had originally lowered guidance for the second half, right? and then you came back about a month and a half later and said you would exceed. so what happened exactly? >> our businesses outperformed. >> but what happened in terms of -- your outlook clearly changed. but what happened to the math? you're not changing goal posts? >> we sold a business. we sold a business to a division of nestle. we also had a product approved. that we were not expecting to be approved as soon as it was. and we knew we'd have to spend a lot more in terms of watching it. so we lost a bunch of income from tre sale and revenue. and we have -- we planned a lot of expenses in which we actually spent more than we thought we were going to on the drug. the outperformance of our business this quarter is the big thing. our dermatology business, neurology business, and a number of our smaller businesses has way

i'm not quick to say this is all valeant. we'll talk about brazil.inks brazil's not done. it's the worst market in the world. maybe take a look at it pick among the rubble. petrobras not bad a company. >> what are we going to decide who is the markets? is it oil, ebola, the fed, earnings? earnings? >> i think it's going to be earnings. the calendar's amazing. look merck up from 53, can it hold on that number? i think people are sanguine about it. we do have oils, exxon and chevron at the end of the week. goldman sachs does a downgrade of the oils. do you throw in the towel at 80 or declare victory at 100? second-rate analysts commentary. deutsche bank upgrades alcoa. it's a field day of fun, because most analysts have really not distinguished themselves during this period. >> jim, we've got to go. i look at you, someone told me that high-def was not my friend. were we worried about that when we -- i don't care. i think you look fine. you know what i mean? >> that is the nicest thing -- i need that after the eagles lost. taking that to the bank. >> yo

the tension between ackman and pearson and everyone in that valeant camp is great. they are all over each other. they are not operating on the same wave length. >> no? okay. >> they would have been much better off not dealing with ackman and going right to a proxy fight. >> let's go to rick santelli. >> that set the tone for what's going on today. markets are clear. look at 24 hours of the dax. right after the opening, roughly 3:30 eastern a.m., look how it came out in the chute. now look at our ten-year around the same time. when did the yields pop? even with the better than expected housing, if you like people renting because it was mostly multifamily versus single family which was up marginally, we didn't get a whole lot of activity on the 8:30 eastern data. if we look at a two-day chart of the bond boon, this tells us a lot, too. you realize the boons traded $87 are only down two basis points on the week? that is significant considering where it traded to in terms of close to 70 basis points. if you open the chart up on 10 for a one-week chart, you miss most of

the close at $190.50, valeant finished at $125.90. >>> and at&t is paying to consumer refunds to settle allegations that it added bogus third party charges to cell phone bills. daily horoscopes or trivia never requested. enforcement action for this so-called cramming is the largest in the history of the federal communications commission. at&t shares up, though, nearly 1% to $33.15. >>> citi group is gearing up to spin off the subprime lending unit. one main financial, which makes personal loans to consumers with less than pristine credit is preparing a $50 million initial stock offering. citi group tried but failed to sell the business before and now says one name no longer fits with the strategy. >>> switching to politics with under four weeks to go before the midterm elections, and the focus now is on kansas and what some considered to be the most important race in the country, one that could determine whether republicans will take control of the u.s. senate. john harwood joins us with more on this important battle ground. john, first off, tell us who is running and why is this race i

valeant, huge winner. fantastic numbers. -- i've never seen a situation where there are so many winners as valeant andallergin. want to call out again that david is making you more money even if you think he's the ceo offal al elegan. valeant is dlelivering their quarters. i continue to watch drug companies as the places to go. they've been down badly but this is good numbers all around. >> you've been consistent supporter of piat. >> when the stock was out at 80 last year. he came on the show and said my stock is rid cloiculously low. don't be idle. i'm not. my stock is very unlgds valued. i'm calling your show to tell you that. >> what's on "mad" tonight? speaking of which. >> i'm going to talk about the biggest ipo disaster of the year and i'm not going to tell you which one. the biggest, and people are going to listen to this and say i want to know who does it but i'm not going to do that. i'm not going to name names about who did it. i'm just going to lay out the story because i'm a kinder, gentler cramer. >> i haven't

the ceo of allergan himself authorized allergan to release information about valeant company for theurpose of attempting to manipulate the stock price down. it was a conscious strategy by the senior most of allergan's management team and also thinking the new developments only increase the likelihood of the deal happening. this new information came to light over the weekend when a judge forced allergan to give documents to per shing square and value i can't as part of a discovery process. mr. akman saying he think this is new information only increases the likelihood of this valiant and allergan deal actually taking place. so we have reached out to allergan for comment. if we get one we'll share it with you. but it's already been a contentious fight. taking more of that turn this hour. airlines have been volatile. gaining ground today after selling off on ebola fiercears. >> gordon, what is the answer for the airlines at this point? >> i think they go o about. they are profession men and women and will do their job. they are going to rely on the government and cdc do their job and pr

because the idea offing abegan buying salix is important whether they will avoid the clutches of valeantd pershing square. after the letters that have been written by allergan shareholders, not just the head funds, but t rowe and jackson square. and cautious comments not doing a salix deal or giving shareholders a voice, no surprise to say from what i'm hearing, of course, talks between allergan and salix cooled considerably. are they done entirely? that is not clear at this point. salix for its part, which was facing as well rebellion. they were merging with that subsidiary and inverting. that deal has no gates to a termination that cost nothing. what i'm hearing at this point, you can expect that may very well go the way of being terminated. that deal with cosmo. that does not mean salix will find itself a partner. those trying to figure out whether allergan is going to go to valiant, i did want to share updates on that situation. >> big kibosh on that sale. >> not clear how the fit is with allergan. >> i have not been a big fan of the fitting. i think the company is a good company. it

allergan is one of the leaders today as bill ackman and valeant increase their bid.ainers include perk perkin elmer. health care is also the leading sector so far this year in the entire s&p 500. back over to you. >> all right. thanks very much. dom chu for that sector report. up next, an amazing story about how this 3d-printed heart helped save a baby's life. we're back for that conversation after a quick break. your customers, our financing. your aspirations, our analytics. your goals, our technology. introducing synchrony financial, bringing new meaning to the word partnership. banking. loyalty. analytics. synchrony financial. enagage with us. >>> with the dow beginning to head down into negative territory, let's get to rick santelli in chicago for the santelli exchange. >> thanks, simon. i'd like to welcome our guest for this wednesday morning, lewis woodhill. thanks for taking the time, lewis. >> good to be with you again. >> i like a lot of the pieces you write. friday we had what was perceived to be a pretty good employment report. we've had a string of positi