Long-Term Debt and Short-Term Borrowings (Tables)

9 Months Ended

Sep. 30, 2025

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Long-term debt and short-term borrowings consist of the following:

($ in millions)	September 30, 2025		December 31, 2024
Senior Credit Agreement
Term Loan B Facility:
SOFR plus 225 bps term loan due 2031	$	1,543	$	1,543
EURIBOR plus 275 bps euro-denominated term loan due 2031 (€718 million in 2025 and €724 million in 2024)	838		755
Revolving credit facility	30		—
4.125% secured notes due 2028	2,100		2,100
2.875% euro-denominated secured notes due 2028 (€1.25 billion)	1,459		1,304
5.125% notes due 2031	1,758		2,000
6.750% secured notes due 2034	500		500
7.875% notes due 2034	500		500
Revenue Interest Purchase and Sale Agreement (1)	178		165
NovaQuest Funding Agreement	—		103
Other borrowings	8		7
Other (discounts and debt issuance costs)	(86)		(97)
Total principal long-term debt and short-term borrowings	$	8,828	$	8,880
Less: Current portion of long-term debt and short-term borrowings	45		20
Total Long-term debt, net of current portion	$	8,783	$	8,860

(1) Recognized at the amortized cost basis. The remaining principal is determined as the initial fair value less principal payments. As of September 30, 2025, the remaining principal of the revenue interest purchase and sale agreement (the “RIPSA”) that the Company assumed in connection with its acquisition of Dermavant is $156 million.

Schedule of Carrying Values and Estimated Fair Values of Debt Instruments

Long-term debt was recorded at the carrying amount. The estimated fair value of long-term debt (including current portion) is as follows:

($ in millions)	Fair Value Measurement Level	September 30, 2025		December 31, 2024
Long-term debt	2	$	8,250	$	8,354
Long-term debt (RIPSA & NovaQuest)	3	178		268

Schedule of Maturities on Long-term Debt

The schedule of principal payments required on long-term debt and short-term borrowings for the next five years, exclusive of $22 million of accrued interest related to the RIPSA, and thereafter are as follows:

($ in millions)
2025	$	32
2026	10
2027	10
2028	3,568
2029	10
Thereafter	5,262