Valeant Pharmaceuticals has decided to sell off three of its skincare brands—CeraVe, AMBI, and AcneFree—to L’Oréal, for a total consideration of $1.3 billion. The company will also be selling off Dendreon to Sanpower for around $819.9 million. In non-core geographies, the company is divesting its businesses, such as Euvipharm in Vietnam and Armoxindo in Indonesia. Valeant also plans to divest its Brazilian operation, Instituto Terapeutico Delta. On December 8, 2016, Valeant completed the sale of North American commercialization rights for the orphan drug, Ruconest, to Pharming Group. In 4Q16, the company divested its Synergetics OEM (original equipment manufacturer) business in the United States, and European commercialization rights related to brodalumab.

The subsequent debt reduction is expected to improve investor sentiment towards Valeant Pharmaceuticals in 2017. In the next article, we’ll explore revenue growth trends for Valeant in 2017.