Moody's could lift Elan

Moody's Investors Service said it placed the ratings of Elan Corp., plc, including the B1 corporate family rating, under review for upgrade.

Moody's said this action follows Elan's announcement that it plans to spin-off the discovery science and Neotope Biosciences businesses from the company.

"The transaction creates an entity with significantly lower debt/EBITDA, limited R&D execution risk, and a solid growth outlook," Moody's senior vice president Michael Levesque said in a news release.

"However, Elan's revenues will remain solely concentrated in Tysabri, and therefore any upgrade of the ratings is likely to be limited to one notch," Levesque assed in the release.

© 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.