What Is Going on With Endo International (ENDP) Stock Today?

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  • Endo International (ENDP) stock is slipping on bankruptcy news.
  • The company also recently revealed a restructuring support agreement (RSA).
  • This news comes as Endo deals with substantial opioid litigation.
A magnifying glass zooms in on the logo for Endo International PLC (ENDP)

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Endo International (NASDAQ:ENDP) stock is taking a beating on Wednesday after the company filed for bankruptcy protection.

The big reason behind this filing is the lawsuits Endo is facing over its alleged role in the U.S. opioid crisis. Massachusetts Attorney General Maura Healey said the company may end up paying a settlement of $450 million. This would also require Endo to relinquish certain documents and stop promoting its opioids.

To go along with that news, Endo International recently revealed a restructuring support agreement (RSA). This agreement is with “holders of more than a majority” of its first lien debt. The agreement would reduce its debt,as well as cover remaining litigation related to opioid lawsuits.

The details of the agreement include a $6 billion credit bid to acquire the company and provisions for retaining all active Endo employees. The deal also includes voluntary trusts of $550 million over the next 10 years to cover future opioid litigation.

Endo President and CEO Blaise Coleman said the following about the agreement:

“By definitively addressing the more than $8 billion of debt that has burdened our balance sheet and establishing a pathway to closure with respect to the thousands of opioid-related and other lawsuits that the Company has been defending at an unsustainable cost, we will be able to move forward as a new Endo and reach our full potential.”

ENDP stock is down more than 10% as of Wednesday morning as well as down 91% since the start of the year.

Investors on the lookout for more of the latest stock market news are in luck!

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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


Article printed from InvestorPlace Media, https://investorplace.com/2022/08/what-is-going-on-with-endo-international-endp-stock-today/.

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