't zal maar gebeuren schreef op 30 maart 2016 14:36:
By Austen Hufford
Valeant Pharmaceuticals International Inc. said it has proposed a deal with its lenders to avoid a default by extending its filing deadlines and restricting the company from making some acquisitions.
Valeant is seeking to extend a lender-imposed deadline for filing its annual report as it undertakes an in-house review of its accounting procedures. If the deadline is missed, Valeant said it faces a potential default on its debt.
The Canadian pharmaceutical company said it is planning on filing the annual report by April 29 but wants the deadline extended to May 31. It also wants to extend the deadline for its report covering the quarter ending Thursday to July 31 from June 14.
Valeant also said Wednesday the internal committee assigned to investigate its accounting practices is "nearer" to finishing its work and hasn't identified any additional items impacting its financial statements beyond the ones identified earlier.
Earlier this month Chief Executive Michael Pearson had said the company was hoping to file its overdue quarterly report in April but that he "can't commit to that." Valeant is seeking a replacement for Mr. Pearson, the architect of its business strategy, though he is staying with the company until a replacement is found.
Valeant also said it was seeking "additional cushion in its financial covenants" from lenders, and that proposed changes would restrict Valeant's ability to make certain acquisitions, pay dividends or make other payments until the financial statements are filed and the company achieves certain financial metrics.
Valeant acknowledged in February that it had found an error that would result in an earnings restatement because it had recognized a chunk of revenue too soon.
Earlier this month, Valeant said it would change its basic business model of acquiring drugs already on the market and sometimes raising their prices substantially to increase revenue. While its signature model wowed Wall Street at the time, it also drew pressure from drug payers and politicians. Presidential candidate Hillary Clinton specifically called out Valeant in a campaign ad, saying she was "going after" them for "predatory pricing."
Shares of the company rose 3% premarket to $29.86. The stock has fallen 56% in the past month and is down sharply from its all-time closing high of $262.52.
Write to Austen Hufford at
austen.hufford@wsj.com(END) Dow Jones Newswires
March 30, 2016 08:35 ET (12:35 GMT)
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AAND VALEANT PHARMA INTERN AM NOT
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