Endo International PLC is moving toward a bankruptcy filing, potentially setting off intense conflicts with state and local governments that have sued the pharmaceuticals company for its alleged role in fueling the opioid crisis, WSJ Pro Bankruptcy reported. Without a deal with opioid plaintiffs after years of negotiations, Endo is considering filing for bankruptcy as a means to restructure its more than $8 billion of debt and thousands of outstanding lawsuits. The company has been in negotiations with a group of secured creditors since it failed to make interest payments owed to its junior bondholders last month, said the people. Endo is aiming to reach a deal with the secured creditors before it enters a near-term chapter 11 process, though is unlikely to file for bankruptcy with an agreement also in place with its junior bondholders and opioid plaintiffs, the people said, cautioning that the situation is fluid and circumstances may change. Other pharmaceutical companies, including Purdue Pharma LP and Mallinckrodt PLC, have sought bankruptcy protection to resolve opioid liabilities, filing for chapter 11 with settlements in place with most U.S. states.
