Mallinckrodt plans to spin off its generic drug business next year, the company announced Thursday, creating one company focused on generic pharmaceuticals and another focused on specialty products.
The pharmaceutical company, which has its U.S. headquarters in the St. Louis area, is expected to keep the Mallinckrodt name and St. Louis base for the generics business. That unit could still be sold, the company said.
The specialty business is expected to take a new name and have its base in New Jersey.
The generics business accounted for about a quarter of Mallinckrodt’s net sales in 2017. It carries much of the liability from the drugmaker’s history of opioid manufacturing.