Mallinckrodt and Endo, drugmakers which recently emerged from bankruptcy after a wave of U.S. opioid lawsuits, announced plans Thursday to join forces in a deal valued at $6.7 billion. Mallinckrodt Chief Executive Siggi Olafsson said the companies' operations and products complement each other.

As per the Thursday release, Endo will be folded into Mallinckrodt, which will then continue as the holding entity for the combined companies. Post-merger, the company will be listed on the New York Stock Exchange and is projected to generate around $3.6 billion in revenue this year.

Dublin-headquartered Mallinckrodt is taking over smaller rival Endo and planning to list the combined firm on the New York Stock Exchange, the two drugmakers said Thursday.

Mallinckrodt and Endo, drugmakers with a shared history of facing bankruptcy and U.S. opioid litigation, have agreed to merge in a deal valued at nearly $7 billion. Endo shareholders will get $80 million in cash and own 49.

Mallinckrodt Pharmaceuticals and Endo Inc. are exploring a potential merger that could be valued at about $7 billion, people with knowledge of the matter said.

Endo shareholders will get $80 million in cash and own 49.9 per cent of the combined company, while Mallinckrodt shareholders will own the rest for an enterprise value of $6.7 billion

Mallinckrodt and Endo are exploring a potential merger that could be valued at about $7 billion, person familiar with the matter told Reuters on Wednesday.