Reported Earlier, 'Bausch Plan To Spin Off Eye-Care Business Stuck In Creditor Standoff; Plan For Bausch + Lomb Spinoff Is Pitting Shareholders Icahn And Paulson Against Creditors Including Elliott And Apollo' - WSJ

Author: Benzinga Newsdesk | August 08, 2024 12:06pm

https://www.wsj.com/articles/bausch-plan-to-spin-off-eye-care-business-stuck-in-creditor-standoff-00e49ff8

Bausch Health's four-year-old plan to spin off eye-care subsidiary Bausch + Lomb is caught in a standoff between the pharmaceutical company's top shareholders including Carl Icahn and Paulson & Co. and debtholders favoring a bankruptcy filing to fix its balance sheet, according to people familiar with the situation.

Creditors have privately supported a bankruptcy filing as a path to separate the valuable subsidiary and restructure more than $22 billion in debt, the people said. Bausch, however, believes there are avenues to complete a spinoff of Bausch + Lomb to shareholders without a chapter 11 filing, a person familiar with the company's thinking said.

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