From Yahoo Finance: 2025-04-22 08:54:00

Billionaire Carl Icahn has acquired a 34% economic interest in Bausch Health, the parent company of Bausch + Lomb. U.S.-listed shares of Bausch Health surged 8% following the news. Icahn owns 9.4% of the company’s shares and has exposure to an additional 24.6% through cash-settled equity swap agreements.

Icahn’s financial contracts allow him to benefit from stock movements without voting control. Bausch Health recently implemented a “poison pill” strategy to prevent hostile takeovers. The company reported total liabilities of nearly $27 billion. Icahn refused to provide swap agreement copies but disclosed they were accumulated through trades from 2021 to 2023.

Equity swap agreements with Icahn mature in 2028 but can be terminated earlier for cash settlement. Bausch Health’s chairman, John Paulson, plans to sell $50 million in bonds to eliminate any conflict of interest. Financial advisors have been enlisted to address the company’s substantial debt.



Read more at Yahoo Finance: Billionaire Carl Icahn builds 34% economic interest in Bausch Health