Bausch Health to Redeem $643 Million of 8.500% Notes in November
Key Facts
Bausch Health said its subsidiary Bausch Health Americas will redeem approximately $643 million of the principal amount of its 8.500% senior notes due in 2027. The company set November 30, 2026, as the redemption date, with an irrevocable notice to be issued on October 29. It said the transaction will be funded with available cash. The amount covers most of the $701 million of principal due in 2027, according to the company's schedule as of September 30, 2026. Once the redemption is completed, the notes will be retired.
The redemption puts available cash at the center of the company's management of near-term maturities. Cash and cash equivalents totaled $2.485 billion on September 30, 2026, compared with $1.309 billion at the end of 2025. On the same date, total long-term debt and other obligations stood at $20.637 billion, versus $20.817 billion on December 31, 2025. These figures reflect a decline in total debt and other obligations alongside an increase in the cash balance. The company said the redemption will be funded with available cash, without citing a stated objective beyond repaying the notes.
The announcement came alongside third-quarter results showing consolidated revenue rose to $2.941 billion from $2.681 billion in the same period of 2025. Growth was 10% on a reported basis and 8% organically, according to the company's statement. Cash flow from operating activities also increased to $813 million, compared with $405 million in the third quarter of the prior year. The chief executive said the company achieved a net debt reduction of more than $500 million during the quarter, supported by strong cash generation. These indicators provide financial context for the decision to use liquidity to redeem the notes, but do not establish that the redemption caused the debt reduction recorded during the quarter.
The move is part of a series of debt maturity management steps that included a refinancing in April 2025. According to the company's annual report, Bausch Health then issued $4.4 billion of 10.00% secured senior notes due in 2032 and used the proceeds to repay existing facilities, loans and notes. The report said the transaction shifted approximately $6.87 billion of debt maturities falling between 2025 and 2028 to 2030–2032. In December 2025, the company exchanged notes due in 2028 for a new $1.6 billion issue due in 2032, reducing the principal amount of outstanding debt by $83 million. In March 2025, it announced conditional redemption notices for multiple notes, with the redemptions expected to be funded through a new $4 billion note issue and $3.4 billion of borrowings under a secured term loan.
In trading, the company's shares closed at $6.31 on October 27, 2026, according to EL7 data. The company had announced that its third-quarter results and business update would be presented on a live call on October 28 at 5 p.m. Eastern Time. It also raised its full-year 2026 outlook, setting a consolidated revenue range of $10.975 billion to $11.175 billion and an adjusted EBITDA range of $4.315 billion to $4.415 billion. The notes are due to be redeemed on November 30, following the announcement of the transaction's terms in late October.