The drug and medical-device company said the agreements aren’t an admission of liability or fault.
In April, Endo said it would pay about $830 million before taxes to settle a “substantial majority” of legal claims that alleged vaginal mesh inserts led to injuries. Medical manufacturers have been hit with lawsuits after injuries were linked to the products, which treat pelvic organ prolapse and urinary incontinence.
Endo previously established a pretax product liability reserve of about $1.2 billion. As a result of the new settlements, this is expected to increase to about $1.6 billion.
Endo said AMS will continue to invest in educational activities to encourage patients and doctors to discuss the risks and benefits of surgical mesh.
The Wall Street Journal reported in August that Endo had placed AMS up for sale, citing people familiar with the matter. AMS recorded $250 million in revenue in the six months ended June 30, which was 19% of Endo’s total revenue. AMS could fetch about $2 billion in a sale, the people said. Endo paid $2.9 billion for the business in 2011.
Last week, Auxilium Pharmaceuticals Inc. rejected an unsolicited cash-and-stock bid from Endo valued at $2.2 billion.
Earlier this year, Endo, then based in Malvern, Pa., bought Canada’s Paladin Labs Inc. The allowed Endo to shift its domicile to Ireland, where corporate tax rates are lower.