Shares of Valeant Pharmaceuticals rose 8 per cent yesterday, the morning after the drug-maker said a board committee investigation into its dealings with distributor Philidor Rx Services would result in a profit restatement.

Valeant said based on the preliminary review it would restate results for 2014 and 2015 to reflect its findings that some revenue should have been recognised at the time drugs were dispensed to patients, not when they were delivered to Philidor.

The company, based in Laval, Quebec, Canada, said it would release unaudited earnings on Monday.

Valeant shares, which were trading at $82.71 yesterday morning, fell more than 19 per cent on Friday and Monday after Wells Fargo initiated coverage with an “underperform” rating and a valuation of $65 to $68 per share.