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Mallinckrodt suspends specialty generics spinoff plans

Mallinckrodt PLC is suspending plans to spin off its specialty generics and active pharmaceuticals ingredients business, citing current market conditions and uncertainties around the opioid litigation against the company.

Mallinckrodt is among a number of drugmakers including Johnson & Johnson and Allergan PLC that are facing litigation in the U.S. for allegedly engaging in marketing practices that contributed to the ongoing opioid epidemic.

The company said it is considering a "range of options" that would lead to the separation of the specialty generics business.

Staines-Upon-Thames, U.K.-based Mallinckrodt said in May that it would list the unit on the New York Stock Exchange.