For CEOs, it's not always good news when activist investor Carl Icahn has his eyes on your company. But for Allergan, CEO Brent Saunders says Icahn's investment announced last week was the ultimate stamp of approval.
"I asked him did he have something he wanted us to do differently?" Saunders told CNBC's "Squawk on the Street" on Monday. "He said no, that he was confident in our strategy and he looked forward to being an investor for the long-term."
Icahn's investment in the pharmaceutical company comes two months after the U.S. government blocked a $160 billion merger with Pfizer by issuing new tax inversion rules.
Shares of the company, which makes the wrinkle-injection Botox, jumped 3 percent on the Icahn investment news last week. The exact size of his stake isn't known, since it was not filed with the Securities and Exchange Commission.
"He did say it was a very large position but we'll have to wait until we get the shareholder trades for the month to see what it actually is," Saunders said.
Icahn and Saunders first worked together at Forest Laboratories, where Saunders was previously CEO. The company was later acquired by Actavis, which eventually combined with Allergan.