Mallinckrodt Plc yesterday downplayed a media report that the company had hired restructuring firms and may choose to seek bankruptcy protection, Reuters reported. The company will not specifically comment on what it called market speculation, Chief Executive Officer Mark Trudeau said, adding that “like any other company, we hire advisers for different types of things all the time.” Bloomberg reported on Wednesday that Mallinckrodt has hired law firm Latham & Watkins LLP and consulting firm AlixPartners LLP to help limit its potential legal liabilities from lawsuits related to the U.S. opioid crisis. The company’s shares fell as much as 44.8 percent to an all-time low of $1.43 yesterday. Opioid makers in the United States, including Mallinckrodt, face pressure from a crackdown on the addictive drug in the wake of the opioid crisis and as state attorneys general file lawsuits against manufacturers.
