Moody’s reviews Allergan, Actavis, Forest

Moody's Investors Service said it placed the ratings of Allergan plc under review for upgrade, including the Baa3 senior unsecured rating of subsidiaries Actavis, Inc., Actavis Funding SCS, Allergan Inc., and Forest Laboratories, Inc.

The review was prompted by the announcement that Pfizer Inc. will acquire Allergan for $160 billion. Following the announcement, Moody's affirmed Pfizer's A1 rating with a stable outlook.

In its review, Moody's will consider the benefits of becoming part of a larger and more diversified company, and having reduced financial leverage. The agency will also evaluate structural elements, including whether or not Pfizer will guarantee or provide other support mechanisms for Allergan's debt.

The transaction is expected to close in the second half of 2016.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.