Dublin-based specialty pharmaceutical company Mallinckrodt plc is acquiring Cadence Pharmaceuticals for $1.3 billion in an all-debt financed transaction. Pro forma leverage is increasing to about 5.5x. We are removing the ratings from CreditWatch with negative implications, where we placed them on Feb. 11, 2014. At the same time, we are lowering our corporate credit rating to 'BB-', and our senior unsecured rating to 'B' from 'BBB-'. We are assigning a recovery rating of '6' to the senior unsecured debt. In addition, we are assigning an issue-level rating of 'BB+' and recovery rating of '1' to the company's proposed senior secured credit facility, issued at wholly owned subsidiary Mallinckrodt International Finance S.A., which comprises a $1.3 billion term loan B and
