Mallinckrodt Lenders Pitch Restructuring as Opioid Payment Nears

A group of first-lien lenders to Mallinckrodt Plc has pitched a proposal to the drugmaker that would allow them to bid for the company’s assets through another bankruptcy as a $200 million payment owed under its settlement in the opioid crisis comes due, according to people familiar with the matter.

The payment — due June 16 and earmarked for an opioid trust — is supposed to be Mallinckrodt’s first since exiting bankruptcy a year ago. Some of its lenders, however, are concerned that the payment could strain the company’s liquidity and want Mallinckrodt to skip it or renegotiate. Lawyers ...