Insys Therapeutics has filed for Chapter 11 bankruptcy and plans to sell “substantially all of the company’s assets,” the company said. Insys’s pipeline includes inhaled dronabinol, intranasal epinephrine, and intranasal naloxone. NDA submissions for the nasal sprays had been planned for 2019.
The bankruptcy filing comes in the wake of legal troubles related to the company’s marketing of its Subsys fentanyl sublingual spray. Insys recently agreed to pay approximately $225 million to settle criminal and civil investigations. According to the company, business operations will continue as normal throughout this process, and all vendors, suppliers, and employees will be paid in full for products and services going forward.
Insys Therapeutics CEO Andrew G. Long said, “After conducting a thorough review of available strategic alternatives, we determined that a court-supervised sale process is the best course of action to maximize the value of our assets and address our legacy legal challenges in a fair and transparent manner. Insys has compelling assets and a highly talented team. We believe this process will provide us with a forum to negotiate an equitable resolution with our creditors and represents the best opportunity for our people and our business.”
Read the Insys Therapeutics press release.
