Valeant Stock Tumbles on $750 Million Debt Offering Announcement

Valeant Pharmaceuticals Int'l Inc. (VRX) shares dipped 1.63% to $15.13 in mid-morning trading Monday, Nov. 13, after the drug maker launched a $750 million debt offering.

Valeant announced the private offering with notes due in 2025 in a statement Monday. The proceeds from the offering of the existing 5.5% senior secured notes will be used to repay a portion of term loan facilities due in 2022, Valeant said.

In late October, the company announced it was on pace to exceed an earlier goal of paying down $5 billion in debt by February 2018. Valeant still has more than $26 billion in debt, but no obligations until 2020.

Valeant stock has gained 4.27% since the start of the year, compared to the broader S&P 500 Index's 15.3% gain in the same period.

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