Bausch Health Companies Inc. (BHC) Acquires DURECT in $413 Million Deal to Tackle Alcoholic Hepatitis

Core Insights - Bausch Health Companies Inc. (NYSE:BHC) is recognized as an undervalued player in the healthcare sector, driven by strategic acquisitions and pipeline developments rather than solely financial trends [2][3] Company Developments - The acquisition of DURECT Corporation, valued at $63 million upfront with potential milestone payments of up to $350 million, is a significant move for Bausch Health, enhancing its hepatology portfolio with larsucosterol, an epigenetic modulator for alcoholic hepatitis [3][5] - Bausch Health is advancing key pipeline assets, including larsucosterol, which could address approximately 164,000 annual U.S. hospitalizations for alcoholic hepatitis, and the Phase 3 rifaximin SSD program targeting hepatic encephalopathy in cirrhosis patients, with topline results expected by early 2026 [4][5] Strategic Focus - The company is focusing on high-value specialty therapeutics and underserved niches, positioning itself as a leader in hepatology with the potential breakthrough status of larsucosterol [5] - Recent initiatives include the launch of the Fraxel FTX laser in the U.S., Canadian clearance for Thermage FLX, and awaiting European approval for Clear + Brilliant Touch, reflecting a commitment to expanding its medical aesthetics offerings [4][5]