Biotech and Pharma

Valeant shares plunge 18% on SEC probe

Valeant confirms SEC subpoena in Q4

Valeant Pharmaceuticals International shares plummeted 18 percent Monday after the embattled drugmaker said it faces a previously undisclosed probe from the U.S. Securities and Exchange Commission.

Valeant said it received a subpoena from the SEC in the fourth quarter. The company has delayed its annual report with the SEC, and said it would have disclosed the probe in the filing if it had already been released.

The investigation is separate from a previous probe into Valeant's 2015 purchase of Salix Pharmaceuticals, according to Bloomberg, which first reported the news.

Valeant in the New York Stock Exchange
Brendan McDermid | Reuters

The investigation deals another blow to Valeant, which continues to face probes from two U.S. Attorneys and Congress. The drugmaker's shares have fallen 35 percent this year.

Valeant on Sunday canceled the release of its fourth-quarter results, previously set for Monday, and withdrew its 2016 financial guidance. The company announced that CEO Michael Pearson will return from medical leave effective immediately.

Valeant said it planned to release preliminary fourth-quarter results and 2016 outlook "in the near-term."