Valeant Turns Assets to Cash With $2.1 Billion in Deals

Valeant Turns Assets to Cash With $2.1 Billion in Deals

Assessment

Interactive Video

Business

University

Hard

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The video discusses a company's financial strategy, focusing on its $30 billion debt and asset sales worth $2 billion. It highlights the positive investor response to asset sales, including Dendreon and dermatology assets, and the challenges of future debt obligations. The company may need to sell $5 to $15 billion in assets, with potential sales of core businesses like Salix. The discussion includes valuation, bond principles, and term loans, emphasizing the need for strategic asset sales to manage debt effectively.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the total debt the company is trying to manage?

$10 billion

$30 billion

$40 billion

$20 billion

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What type of assets is the company selling at favorable valuations?

Real estate

Cancer and dermatology assets

Automobiles

Technology

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

When is the company expected to face significant financial stress due to debt?

2018

2019

2020

2021

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How much in assets does the company plan to sell to manage its debt?

$15 to $25 billion

$1 to $5 billion

$25 to $35 billion

$5 to $15 billion

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the outcome of the company's attempt to sell its core Salix business?

It was sold for $5 billion

The sale fell apart

The sale was postponed

It was sold successfully