Endo International PLC has put its medical-device unit up for sale, according to people familiar with the matter, just three years after buying the business.
The Minnetonka, Minn.-based business, known as AMS, 0077.HK +0.93% supplies devices to treat pelvic disorders such as incontinence and recorded $250 million in revenues in the six months ended June 30. That was 19% of Endo's total revenue in the period.
AMS, which has attracted interest from private-equity firms and other health-care companies, could fetch about $2 billion in a sale, the people said.
That is less than the $2.9 billion Endo paid for the business in 2011. Endo in April agreed to pay roughly $830 million to settle claims that vaginal mesh inserts sold by AMS led to injuries. It is not clear why Endo is putting the business up for sale now.
Earlier this year, Endo, then based in Malvern, Pa., bought Canada's Paladin Labs Inc. The $1.6 billion deal allowed Endo, which is also a drug maker, to shift its domicile to Ireland, where corporate tax rates are lower. Such takeovers, known as inversions, have proliferated lately among health-care companies—and drawn criticism from politicians and others.
It is not clear whether any of the health-care companies pursuing AMS could use the deal to do an inversion of its own.
Earlier this month, Endo completed the acquisition of Dava Pharmaceuticals Inc., a generic pharmaceuticals specialist, for about $600 million.
The Minnetonka, Minn.-based business, known as AMS, 0077.HK +0.93% supplies devices to treat pelvic disorders such as incontinence and recorded $250 million in revenues in the six months ended June 30. That was 19% of Endo's total revenue in the period.
AMS, which has attracted interest from private-equity firms and other health-care companies, could fetch about $2 billion in a sale, the people said.
That is less than the $2.9 billion Endo paid for the business in 2011. Endo in April agreed to pay roughly $830 million to settle claims that vaginal mesh inserts sold by AMS led to injuries. It is not clear why Endo is putting the business up for sale now.
Earlier this year, Endo, then based in Malvern, Pa., bought Canada's Paladin Labs Inc. The $1.6 billion deal allowed Endo, which is also a drug maker, to shift its domicile to Ireland, where corporate tax rates are lower. Such takeovers, known as inversions, have proliferated lately among health-care companies—and drawn criticism from politicians and others.
It is not clear whether any of the health-care companies pursuing AMS could use the deal to do an inversion of its own.
Earlier this month, Endo completed the acquisition of Dava Pharmaceuticals Inc., a generic pharmaceuticals specialist, for about $600 million.