Oxymorphone Hydrochloride

iStock, Dmitrii_Guzhanin Both Mallinckrodt and Endo have previously declared bankruptcy, linked to opioid-related lawsuits. Endo and Mallinckrodt—two drugmakers that have run into financial rough spots in recent years— will merge in a stock and cash transaction worth $6.7 billion, the companies formally announced Thursday. The news comes after reports of a business combination circulated on Wednesday, first reported by Bloomberg . As per the Thursday release, Endo will be folded into Mallinckrodt, which will then continue as the holding entity for the combined companies. Post-merger, the company will be listed on the New York Stock Exchange and is projected to generate around $3.6 billion in revenue this year. Ownership of the resulting entity will be split near-perfectly down the middle: Endo shareholders will own 49.9% of the resulting entity, while the remaining 50.1% will belong to Mallinckrodt shareholders. Siggi Olafsson, president and CEO of Mallinckrodt, will be CEO, president and board member of the merged business, while Paul Efron, currently an Endo Board member, will serve as Chair of the combined company’s Board. The deal should close in the second half of the year, pending regulatory clearances. The companies will combine and spin off their generics businesses into a separate entity pending Board approval. In October 2020, Mallinckrodt filed for Chapter 11 bankruptcy , which the company said would help it restructure its debt and allow it to weather “several billion dollars of otherwise unmanageable potential legal liabilities.” A few months earlier, Mallinckrodt had agreed “in principle” to a $1.6 billion settlement for alleged injuries related to many of its generic opioid products. In August 2023, the company announced a major restructuring support agreement with its biggest debtholders and with the opioid trust that was handling its settlement payouts. Mallinckrodt at the time also unveiled plans to another Chapter 11 bankruptcy, which a Delaware court approved of in October 2023 . Headquartered in Dublin, Ireland, Mallinckrodt is a specialty pharmaceuticals company that produces both branded and generic drugs. Perhaps its most notable branded product is Terlivaz, an intravenously injected vasopressin receptor agonist that in September 2022 became the first FDA-approved therapy for hepatorenal syndrome, kidney failure linked to liver cirrhosis. Endo has similarly run into financial difficulties due to opioid lawsuits. The pharma used to manufacture an opioid pain medication called Opana ER, which the FDA in June 2017 flagged for withdrawal due to safety risks associated with opioid overuse. In May 2024, the Justice Department hit Endo with a $1.086 billion fine —plus $450 million for criminal forfeiture—for violating the Federal Food, Drug and Cosmetic Act connected to the distribution of Opana ER. Endo filed for bankruptcy in August 2022 . On Tuesday, the company offloaded its international business to Knight Therapeutics for $84 million upfront and up to $15 million in future payments.

After four-plus years as CEO at Endo, Blaise Coleman will depart Aug. 29. The company gave no reason for his exit, and he will be replaced by new board member Scott Hirsch. Four months after emerging from bankruptcy, Endo is in transition again with the sudden departure of CEO Blaise Coleman.Tuesday, without providing a reason, the Dublin-based company revealed Coleman’s eventful four-year tenure will end Thursday. Scott Hirsch, formerly the CEO of Solta Medical, will take over as Endo's interim CEO. Hirsch joined the company’s board in April. Endo has brought on executive search firm Spencer Stuart to assist in finding a new CEO.Coleman leaves after navigating Endo through a challenging period in which it faced a mountain of litigation over marketing of its opioid products. The company filed for bankruptcy in August 2022.“We thank Blaise for his successful leadership of Endo over the last four years, which were integral to establishing our strong foundational footing following our restructuring,” Endo’s chairman, Paul Herendeen, said in a release.After stints at AstraZeneca and Johnson & Johnson, Coleman served as the chief financial officer at Endo for three-plus years before taking over the troubled company as CEO in March 2020.Two years later, when Endo filed for Chapter 11, it agreed to pay a $450 million settlement to 36 states to resolve allegations that it falsely marketed opioids. That deal came on top of the company paying a combined $204 million to settle individual lawsuits with four other states.Around the same time, the company drew much criticism for paying lucrative pre-bankruptcy bonuses to its top execs, including $11.85 million to Coleman.Later in the year, Endo laid off 90 staffers as it pulled the plug on its innovative cellulite treatment Qwo (collagenase clostridium histolyticum-aaes), which was plagued by skin discoloration and injection-site bruising. In February of this year, Endo agreed to a $465 million bankruptcy settlement with the federal government that superseded deals to resolve civil and criminal lawsuits for its marketing of Opana ER (oxymorphone).Four months ago, Endo revealed the completion of its reorganization and exit from Chapter 11.“Endo is strategically well-positioned to become a vibrant growth company with a strong balance sheet, a broad, diversified portfolio of on-market medicines, and a pipeline of innovative and differentiated product candidates,” Herendeen added in the release. “As we work toward our goal of re-listing on a national stock exchange, the board is focused on identifying a new chief executive with the experience, skill set and strategic vision to guide Endo through its next phase of development.” In also reporting its second-quarter financials Tuesday, Endo is showing signs of recovery as it bumped up its 2024 revenue projection from a window of $1.68 billion to $1.77 billion to a new range of $1.72 billion to $1.78 billion.Endo also provided guidance for 2025, saying it expects revenue to increase by a low single-digit percentage over its new expected sales figure for 2024. “In the near term, our priority will be continued focus on execution across our branded, sterile injectables and generics portfolios as we position the company for long-term growth,” Hirsch said.