Fitch: Pfizer unaffected

Fitch Ratings said it does not expect Pfizer's Inc.'s purchase of King Pharmaceuticals, Inc. for $3.6 billion to materially affect the company's long-term issuer default rating of AA-, senior unsecured debt rated AA-, bank loan rated AA-, short-term issuer default rating of F1+ and commercial paper rating of F1+.

The outlook is negative.

Under the definitive merger agreement, Pfizer will pay $3.6 billion in cash for King, according to the agency. At the end of the second quarter, Pfizer has a cash balance and short-term marketable securities totaling $19.27 billion, and long-term investments of $10.52 billion, the agency noted.

The acquisition of King brings a diversified product offering, including innovative pain medications and animal health products, as well as a research pipeline focused on pain managemen, Fitch said.

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