Endo International (NASDAQ:ENDP) will no longer sell opioid painkiller Opana.
The Food and Drug Administration asked the drugmaker to get the drug off the market due to its role in worsening the opioid epidemic. After studying the medication carefully, the agency determined the cons far outweigh the benefits of Opana ER (oxymorphone hydrochloride).
Endo complied in pulling the extended-release drug from the market as many of those prescribed with the medication have been abusing it. The company issued a statement saying it has taken a strong stance against abuse, seeking to reduce instances of misuse of Opana ER, but the issue has persisted and it is creating more problems than it is solving.
The move is expected to cost Endo a $20 million impairment charge during its second quarter of the current fiscal year. More than 183,000 people have died from overdoses related to prescription painkillers such as oxycodone, fentanyl and morphine over the last 15 or so years.
Opana ER is designed to be taken as needed orally in order to give long-lasting pain relief. However, some have been taking it by injecting it or snorting it, which releases all its numbing attributes all at once.
The company raked in $35.7 million in Opana sales during its first quarter.
ENDP stock initially slid on the news, but its shares have risen 0.9% as of mid-afternoon Friday.