...- Specialty pharmaceutical and medical device company Bausch Health Cos. Inc. (Bausch Health) announced its plans to settle the U.S. securities litigation, for $1.21 billion, which represents a significant portion of its global class action securities lawsuits alleging violations of federal securities laws by failing to disclose certain information about its business and prospects. - While the amount is significant, we believe credit quality is enhanced by the reduction in uncertainty, and project Bausch Health to be able to maintain leverage under 7x, given projected revenue growth, EBITDA margins of roughly 40%, and annual free cash flow generation of over $1 billion. - We are raising our rating our issuer credit rating on Bausch Health to 'B+' from 'B'. The outlook is stable. - At the same time, we are raising our rating on the senior secured debt to '##' from '##-' and senior unsecured debt rating to 'B' from 'B-'. The recovery ratings remain '1' and '5', respectively. - We also believe...
