Mallinckrodt Lower After Announcing Spin-Off Of Specialty Generics Business

(RTTNews) - Shares of Mallinckrodt plc (MNK) have shown a notable move to the downside during the trading session on Thursday, sliding by 7.4 percent. Earlier in the session, Mallinckrodt hit its lowest intraday level in well over four months.

The drop by Mallinckrodt comes after the British drug maker announced plans to spin off a new company consisting of its specialty generics business and lubiprostone to shareholders.

Mallinckrodt said the separation is expected to create two independent, publicly traded companies, with one focused on innovative specialty pharmaceutical brands and the other concentrated primarily in niche specialty generic products and API manufacturing.