Moody's leaves AbbVie unchanged

Moody's Investors Service said AbbVie Inc.’s Baa1 rating and positive outlook are unchanged following its latest proposal to merge with Shire plc at a cost of about $52 billion in cash and stock.

The agency said the proposal is credit negative because it would raise AbbVie's financial leverage to a range of 3.2 times to 3.6 times from 2.2 times as of March 31.

While the higher debt results in an overall impact that is credit negative, the deal would have positive benefits to AbbVie's business profile, the agency added.

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