How Low Does Valeant Pharmaceuticals' Debt Really Need to Go?

There's as much of a chance that Valeant Pharmaceuticals (NYSE: VRX) wipes out its debt of nearly $28.5 billion anytime soon as there is of Donald Trump receiving a birthday present from football player Colin Kaepernick. Or vice versa.

But it's a mistake to think that Valeant actually needs to completely pay off its debt. Paul Herendeen, Valeant's CFO, made that point in his comments at the Cantor Fitzgerald Global Healthcare Conference on Monday. He said that "there is a role, and always will be a role, for a meaningful amount of debt in our capital structure." The big question, though, is this: Just how low does Valeant's debt really need to go?

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Source: Fool.com