Endo - The top 10 largest pharma layoffs in 2013

Company: Endo
Based: Malvern, PA
Announced layoffs: 700

Endo ($ENDP) may have been watching some of its larger pharma peers early last year when companies like Pfizer ($PFE) and Novartis ($NVS) cheered investors with plans to shed or review units that might distract from their core drug businesses. In June, the company announced its own plans to restructure and turn its focus away from integrated health solutions--and 15% of its workforce went with it.

At the time, Endo was in search of help. Its stock had fallen nearly 24% the year prior. Fidelity Investments, which owns more than 10% of the company, had been pressing for a sale. Manufacturing problems had led to a series of recalls. The FDA had rejected the company's plea to block generic copies of its Opana ER painkiller, which generated 10% of Endo's 2012 revenue. And in just a few months' time, top-selling Lidoderm was due to face its own generic competitors, putting annual sales worth $950 million in peril.

Endo CEO Rajiv De Silva--FiercePharma file
Endo CEO Rajiv De Silva

So Endo decided to cut $325 million in annual costs, citing G&A expenses and sales and marketing costs as targets. It also set out to explore its options for device unit HealthTronics and its early-stage pharma R&D programs and put its attention on specialty pharma, a field that's heating up. And if the company does end up shedding early-stage research programs, more jobs might be in danger.

Endo might now be following in the footsteps of another pharma player it knows well: Valeant Pharmaceuticals ($VRX), where Endo CEO Rajiv De Silva previously served as president. Valeant's got a reputation as a deal-happy acquirer, and Endo has already struck a couple of pickup deals since De Silva took the reins: for Boca Pharmacal, a generics maker, and Paladin Labs, whose Irish domicile will grant Endo tax advantages. The company also made a bid for NuPathe, which boasts brand-new migraine treatment Zecuity, but Teva ($TEVA) recently topped it with a bid of its own. -- Carly Helfand (email | Twitter)

For more:
Endo to cut 700 jobs, review asset sales in major restructuring
FDA nixes Endo petition to protect Opana ER from generics
Report: Endo, in a world of hurt, may be looking for a savior

Endo - The top 10 largest pharma layoffs in 2013

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