Bausch ‘win’ in Xifaxan case clears major hurdle ahead of spin, says Jefferies

Jefferies says the Federal Circuit of Appeals handed Bausch Health (BHC) “a major win in court today” given that based on the appeals court ruling Norwich is still barred from launching its generic Xifaxan until 2029. The litigation “dominos have fallen,” according to the analyst, who expects Bausch Health shares will “grind higher given the increased probability” of a Bausch + Lomb (BLCO) spin. The firm reiterates its Buy rating and $16 price target on Bausch Health shares, which are up 45c, or 5%, to $9.37 in late morning trading.