Reckitt Benckiser Group (RB.)

Sector:

Household Goods

Index:

FTSE 100

5,948.00p
   
  • Change Today:
      50.00p
  • 52 Week High: 6,688.00
  • 52 Week Low: 5,593.00
  • Currency: UK Pounds
  • Shares Issued: 709.52m
  • Volume: 216,126
  • Market Cap: £42,202m
  • RiskGrade: 92
  • Beta: 0.65

Reckitt Benckiser to pay $1.4bn to end US opioid addiction treatment probe

By Frank Prenesti

Date: Thursday 11 Jul 2019

LONDON (ShareCast) - (Sharecast News) - Reckitt Benckiser (RB) has agreed to pay to $1.4bn to resolve all US federal investigations into how its former prescription pharmaceuticals business Indivior marketed opioid addiction treatment Suboxone.


Indivior had been accused of illegally boosting prescriptions for its opioid addiction treatment by the US Justice Department. RB on Thursday did not admit to any wrongdoing.

The deal was struck with US Department of Justice and Federal Trade Commission. Indivior was demerged from Reckitt in 2014, RB said in a statement.

The US justice department in April charged Indivior with fraudulently claiming Suboxone was "safer, less divertible, and less abusable than other opioid-addiction treatment drugs".

It was also alleged to have sought "to boost profits by using a 'Here to Help' program to connect opioid-addicted patients to doctors the company knew were prescribing opioids at high rates and in a clinically unwarranted manner", according to the indictment.

RB, which makes Nurofen painkillers and Lysol cleaning products, said it that while it "expressly denies all allegations that it engaged in any wrongful conduct" it decided the agreement was in the best interests of the company and its shareholders.

It added that the agreement "avoided the costs, uncertainty and distraction associated with continued investigations, litigation and the potential for an indictment at a time of significant transformation at the company and during a CEO transition".

RB in June selected PepsiCo's Laxman Narasimhan as its next chief executive. Departing boss Rakesh Kapoor started a plan, called RB 2.0, to split the group into two business units - health as one and the other covering hygiene and home products. Both would operate under the same parent company.

The settlement amount will be funded through existing borrowing facilities and cash generation. RB has a provision of $400m and will increase its provision to $1.5bn at its half-year results.

Opioid addiction has reached crisis levels in the US, with President Donald Trump declaring it a public health emergency.







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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Reckitt Benckiser Market Data

Currency UK Pounds
Share Price 5,948.00p
Change Today 50.00p
% Change 0.85 %
52 Week High 6,688.00
52 Week Low 5,593.00
Volume 216,126
Shares Issued 709.52m
Market Cap £42,202m
Beta 0.65
RiskGrade 92

Reckitt Benckiser Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
77.41% below the market average77.41% below the market average77.41% below the market average77.41% below the market average77.41% below the market average
92.31% below the sector average92.31% below the sector average92.31% below the sector average92.31% below the sector average92.31% below the sector average
Price Trend
33.77% below the market average33.77% below the market average33.77% below the market average33.77% below the market average33.77% below the market average
40.74% below the sector average40.74% below the sector average40.74% below the sector average40.74% below the sector average40.74% below the sector average
Income
17.76% below the market average17.76% below the market average17.76% below the market average17.76% below the market average17.76% below the market average
72.73% below the sector average72.73% below the sector average72.73% below the sector average72.73% below the sector average72.73% below the sector average
Growth
1.06% below the market average1.06% below the market average1.06% below the market average1.06% below the market average1.06% below the market average
18.52% above the sector average18.52% above the sector average18.52% above the sector average18.52% above the sector average18.52% above the sector average

What The Brokers Say

Strong Buy 9
Buy 3
Neutral 5
Sell 0
Strong Sell 4
Total 21
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Reckitt Benckiser Dividends

  Latest Previous
  Interim Final
Ex-Div 22-Aug-19 18-Apr-19
Paid 26-Sep-19 23-May-19
Amount 73.00p 100.20p

Trades for 06-Dec-2019

Time Volume / Share Price
11:26 100 @ 5,948.00p
11:26 32 @ 5,947.00p
11:26 61 @ 5,947.00p
11:26 68 @ 5,947.00p
11:26 228 @ 5,948.00p

Reckitt Benckiser Key Personnel

CFO Adrian Nevil Hennah
Chair Christopher Sinclair
CEO Laxman Narasimhan

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