Swimming Against The Tide, Lannett May Wipe Out Shareholders With Refinancing

US-Based Player Also Fails To Pay Interest Due On Unsecured Convertible Note

Lannett is weighing major surgery for its balance sheet as it continues to feel the pain of its eye watering and unsustainable debt load.

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Saddled with debt and with market forces weighing heavily on its operations, Lannett is eyeing a potential recapitalization or restructuring of its balance sheet. The company admits that its shareholders might be wiped out under any such deal, for which it expects to reach an agreement with its key secured creditors “in the near term.”

The Philadelphia-based firm outlined that the potential for a restructuring had been triggered by continued competitive pressures on its portfolio, as well as the necessity of establishing a “sustainable capital structure” ahead of

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