Irvine-based Allergan Inc. has had its debt ratings raised by Fitch Ratings Inc.
Fitch said it upgraded the maker of Botox and other drugs because it grew its revenue beyond expectations in 2010.
The rating company raised Allergan’s debt ratings to “A” from “A-,” both of which are investment grade. Fitch also revised its outlook for Allergan to stable from positive.
Allergan’s 2010 revenue grew 9% to $4.9 billion.
Fitch said recovering economies across the globe boosted Allergan’s cash-pay business, which represents about 30% of revenue.
The ratings company said actual performance in those businesses, including Botox Cosmetic, lower-face fillers and breast implants, exceeded its expectations.
The rating allows Allergan to borrow money at a lower rate.
Allergan sold $650 million worth of 10-year bonds with a 3.37% interest rate last year, the second-lowest 10-year yield for a large U.S. corporate borrower in at least 15 years, according to London’s Dealogic.
