Valeant's credit facility boost checked by investment firm's fraud claims

22 August 2016

Canada's battered drugmaker Valeant Pharmaceuticals International (TSX: VRX) has had some good news in the shape of lender consent for an amendment to its credit facility, but it comes in the midst of accusations from its former shareholder T Rowe Price.

Valeant faces a debt of more than $30 billion, though it has now obtained the approval needed for an amendment to its credit facility, allowing a reduction in the interest coverage maintenance covenant, providing additional headroom, as well as additional flexibility to sell assets.

The agreement also permits the issuance of secured notes with shorter maturities to repay term loans and the incurrence of other debt to repay term loans.

This article is accessible to registered users, to continue reading please register for free. A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Try before you buy

Free

7 day trial access

Take a Free Trial

All the news that moves the needle in pharma and biotech
Exclusive features, podcasts, interviews, data analyses and commentary from our global network of life sciences reporters.
Receive The Pharma Letter daily news bulletin, free forever.

Become a subscriber

£820

Or £77 per month

Subscribe Now

Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
Daily roundup of key events in pharma and biotech.
Monthly in-depth briefings on Boardroom appointments and M&A news.
Choose from a cost-effective annual package or a flexible monthly subscription

The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK