Credit FAQ Examines Bausch Health's Credit Quality Following Spinoff Of Eye-Care Business

NEW YORK (S&P Global Ratings) Sept. 21, 2020--When Bausch Health Companies Inc. spins off its legacy eye-care business, the remaining entity will be a more traditional pharmaceutical company with a focus on gastroenterology, aesthetics/dermatology, neurology, and international pharmaceuticals. In a Credit FAQ and related podcast, S&P Global Ratings analysts answer investors' questions about the remaining company's business profile. "This move places more importance on Bausch's internal research and development pipeline and mergers and acquisitions," said Ji Liu, author of the report. "However, its pipeline productivity has been mixed thus far and its acquisition record is limited under the current management team." The remaining entity's leading product is the pharmaceutical rifaximin (Xifaxan), used to treat inflammatory bowel syndrome, said Liu, noting

...September 21, 2020 NEW YORK (S&P Global Ratings) Sept. 21, 2020--When Bausch Health Companies Inc. spins off its legacy eye-care business, the remaining entity will be a more traditional pharmaceutical company with a focus on gastroenterology, aesthetics/dermatology, neurology, and international pharmaceuticals. In a Credit FAQ and related podcast, S&P Global Ratings analysts answer investors' questions about the remaining company's business profile. "This move places more importance on Bausch's internal research and development pipeline and mergers and acquisitions," said Ji Liu, author of the report. "However, its pipeline productivity has been mixed thus far and its acquisition record is limited under the current management team." The remaining entity's leading product is the pharmaceutical rifaximin (Xifaxan), used to treat inflammatory bowel syndrome, said Liu, noting that the drug accounts for 30% of Bausch's revenue. The company will face product concentration risk and increased...

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