Warner Chilcott PLC (NASDAQ: WCRX) already has pulled back way off of its old highs as the company is deemed a maturing story. Apparently the large insider-outsider backers are tiring of the story as well. The company announced that it is conducting a secondary offering of its ordinary shares by certain selling shareholders, so none of the proceeds will be going into the company coffers. It is also close to about 17% of the outstanding shares coming to market.

Funds affiliated with Bain Capital Partners, J.P. Morgan Partners and Thomas H. Lee Partners are the selling stakeholders. Members of the company’s senior management also are going to be unloading the stock. Citigroup is acting as the sole underwriter for the offering, and it is worth noting that Cantor Fitzgerald downgraded this stock to Hold from Buy on the news.

This offering will be a public secondary offering under an effective shelf registration statement. As with almost all secondaries where the insiders are selling, none of the proceeds from the share sales will end up in the company’s coffers.

After closing at $14.19, Warner Chilcott shares are trading down around $13.00 in early-bird indications. Keep in mind that the 52-week trading range is $12.90 to $23.28.

JON C. OGG

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