Bausch Health Cos. Inc.'s Proposed $1.25 Billion Senior Unsecured Notes Due 2029 Rated 'B' (Recovery Rating: '5')

TORONTO (S&P Global Ratings) May 11, 2020--S&P Global Ratings today assigned its 'B' issue-level rating and '5' recovery rating to Bausch Health Cos. Inc.'s proposed $1.25 billion senior unsecured notes due 2029. The '5' recovery rating indicates our expectation for modest recovery (10%-30%; rounded estimate: 20%) in the event of a payment default. We view the transaction as leverage neutral because the company will use the proceeds from the offering to fully redeem its 6.50% senior secured notes due 2022. Bausch Health is a global pharmaceutical and medical device company that develops, manufactures, and markets products primarily in the therapeutic areas of eye health, gastroenterology, and dermatology, including a broad range of branded, generic, and over-the-counter drugs and medical devices.

...- General Criteria: Group Rating Methodology, July 1, 2019 - Criteria | Corporates | General: Corporate Methodology: Ratios And Adjustments, April 1, 2019 - General Criteria: Methodology For Linking Long-Term And Short-Term Ratings, April 7, 2017 - Criteria | Corporates | General: Recovery Rating Criteria For Speculative-Grade Corporate Issuers, Dec. 7, 2016 - Criteria | Corporates | General: Methodology And Assumptions: Liquidity Descriptors For Global Corporate Issuers, Dec. 16, 2014...

Ratings Action