Ackman Reportedly Takes Stake In Zoetis

(RTTNews) - Activist investor Bill Ackman has taken a roughly $2 billion stake in animal health company Zoetis Inc. (ZTS) and could push it to sell itself to a large drug maker like Valeant Pharmaceuticals International Inc. (VRX, VRX.TO), the Wall Street Journal reported Tuesday, citing people familiar with the matter.

Ackman's Pershing Square Capital Management LP has built the stake, which amounts to roughly 10% of Zoetis, with fellow hedge fund Sachem Head Capital Management LP, the Journal quoted the people as saying.

Zoetis, which was spun off Pfizer Inc. (PFE) last year, is the world's largest producer of medicine and vaccinations for pets and livestock.

Ackman teamed up with Valeant earlier this year to pursue a takeover of Botox maker Allergan Inc. (AGN). However, Allergan has rejected their cash-and-stock bids so far.

Zoetis shares closed Tuesday's regular trading session at $43.72, up $3.56 or 8.86%.