Opioid Makers Gain on View They’ll Use Purdue Deal as Model
(Bloomberg) -- Makers of prescription painkillers are climbing higher after Dow Jones reported that the companies are looking to use Purdue Pharma LP’s bankruptcy as a model to settle their own lawsuits.
Mallinckrodt Plc and Endo International Plc jumped Tuesday morning as Wall Street gauged what shape their settlements might take. The two, plus drugmaker Teva Pharmaceutical Industries Ltd., are facing similar claims related to their role in sparking the opioid crisis.
Shares of Mallinckrodt and Endo rose by at least 10% while Teva gained a much as 7.1%. Mallinckrodt has shed more than 90% of its market value in the past year and Endo and Teva are down 78% and 66%, respectively.
Companies that distributed opioids -- McKesson Corp., Cardinal Health Inc. and AmerisourceBergen Corp. -- edged higher as the Purdue idea may signal progress in resolving lawsuits.
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