Mallinckrodt said it plans to file for bankruptcy in the coming days after reaching a deal with most of its lenders to restructure its debt as the company struggles to make opioid settlement payments, WSJ Pro Bankruptcy reported. The filing will mark the company’s second bankruptcy filing. Mallinckrodt, one of the largest makers of opioids, emerged from chapter 11 last year. The company said it has reached a restructuring deal that has the support of most of Mallinckrodt’s creditors. The agreement provides for a final payment of $250 million to an opioid victims compensation trust. Mallinckrodt said it has already paid $450 million to the trust, which was established to fund addiction treatment and address the U.S. opioid crisis. The creditor agreement also would reduce the company’s total funded debt by about $1.9 billion, Mallinckrodt said. The company said it expects to complete the chapter 11 process in the fourth quarter of this year, and said it is still operating normally.
