BUZZ-Valeant Pharmaceuticals: Worst day for stock after outlook

Tue Mar 15, 2016 11:10am EDT
 
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(Adds details, updates share movement)

** Beleaguered Canadian drugmaker's U.S.-listed shares plunge 40 pct to $41.44; steepest intraday pct fall ever

** Stock hits a low of $40 - lowest in more than four years - wiping another $10 bln off the co's market cap

** Now worth $13.7 bln vs nearly $90 bln at its peak less than a year ago (Chart: bit.ly/1nLpxN0)

** Valeant cuts its 2016 revenue forecast by about 12 percent, or $1.5 billion; cites slower growth in its U.S. dermatology, gastrointestinal and women's health businesses

** Co says delay in filing its annual report could mean a debt default

** CEO Michael Pearson says Valeant, which has incurred a heavy debt load because of a string of acquisitions, is now looking to sell some non-core assets

** Co reiterates that it would put off filing its annual report with U.S. regulators but for the first time raised the specter of a default

** CEO Pearson says he was "comfortable" with co's liquidity and expected Valeant to meet its obligations

** Up to Monday's close, stock has lost nearly a third of its value since beginning of 2016