Valeant Confirms Bondholder Notice Of Default Received; Shares Head Lower

Valeant Pharmaceuticals Intl Inc VRX investors may have been surprised yet again Tuesday afternoon as the company announced it received a notice of default from bondholders.

In a press release published at 5 p.m. EDT, Valeant highlighted the notice of default as related to the company's delayed 10-K filing. Valeant said the notice "does not accelerate any of the company's indebtedness" and reassured the 10-K is on schedule to filed on or before the previously disclosed April 29, 2016.

Valeant noted it has until June 11, 2016 to cure the default through the filing of the 10-K.

By the time the official company press release disclosing the notice of default hit newswires, shares of Valeant were already rebounding from after-hours lows. Shortly after Tuesday's closing bell, a Dow Jones report suggested a "big Valeant bond investor Centerbridge notified company of intention to call a default."

Valeant shares last traded at $31.13, down about 2.7 percent from the closing bell.