iBankCoin
18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
19,510 Blog Posts

VALEANT PHARMACEUTICALS IS DEATH SPIRALING

When I say ‘death spiraling’, I really mean it. The deleterious price action has take on a life of its own. The news is the stock going lower. That’s when you know you’re in a death spiral. Like previous death spirals before, and many that will sure follow it, Valeant could succumb to the pressures of the market by losing the ability to refinance its enormous debt.

Then it’s light out.

When the stock was $250, the debt wasn’t all that important. However, with the stock at $25 and their debt/eq ratio greater than 3x, that $30 billion looms large.

image

Don’t believe me? Read Bill Ackman’s private email to Michael Pearson, former CEO at Valeant.
image

If you enjoy the content at iBankCoin, please follow us on Twitter

8 comments

  1. the dude

    Bill,

    As things stand, you are fucked.

    Sincerely,
    the dude

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  2. trumpmeister

    Rooting for VRX to close the day down 25% just to see a new Bill Ackman update on his life.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  3. infinitezuul

    I want to see Theranos exposed as a complete and total fraud before this is done. I want what’s her name to be placed in a supermax prison.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  4. mx2101

    Is this an actual email, or is The Fly being a brilliant writer? Again.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  5. doubleplus

    800+ pages of Valeant emails available for search, courtesy of the otherwise do-nothing Senate . . . Bill must be snorting Ambien to sleep at night. Not that I feel bad for him at all. Sucks to suck.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  6. btn

    Gotta say, that e-mail is on-point.

    • 0
    • 0
    • 0 Deem this to be "Fake News"