The Canadian drugmaker raised its offer for the skin-cream specialist to $24 per share, trying to fend off a $22 rival bid from Germany's Merz Pharma. Valeant Pharmaceuticals International (VRX) and Obagi Medical Products (OMPI) agreed in March to a deal at $19.75 per-share. But Merz entered the fray Tue. with its higher offer. Investors hoping for more bidding pushed Obagi shares up 10.1% to 25.19. Valeant fell 4.6% to 71.87.