Reckitt Benckiser to Pay $1.4 Billion to Settle U.S. Opioid-Addiction Drug Probes

Date : 07/11/2019 @ 7:56AM
Source : Dow Jones News
Stock : Reckitt Benckiser PLC (PK) (RBGLY)
Quote : 15.64  0.38 (2.49%) @ 9:59PM
Reckitt Benckiser (PK) share price Chart

Reckitt Benckiser to Pay $1.4 Billion to Settle U.S. Opioid-Addiction Drug Probes

Reckitt Benckiser (LSE:RB.)
Historical Stock Chart

1 Year : From Apr 2019 to Apr 2020

Click Here for more Reckitt Benckiser Charts.
   By Adria Calatayud 
 

Reckitt Benckiser Group PLC (RB.LN) will pay $1.4 billion as part of a settlement to resolve a U.S. federal investigation into sales and marketing of Suboxone Film, an opioid-addiction treatment, by its former subsidiary Indivior PLC (INDV.LN).

U.K.-based Reckitt said Thursday that it has reached agreements with the U.S. Department of Justice and the Federal Trade Commission to resolve their long-running investigations into the company in connection with the Indivior indictment, as well as claims relating to Medicaid programs for those states choosing to participate in the settlement.

Indivior was wholly demerged from the group in 2014, Reckitt said. Indivior was charged with organizing a multibillion-dollar fraud to drive up sales of Suboxone Film by U.S. federal prosecutors earlier this year. Indivior has denied the charges.

Reckitt, the owner of Durex condoms and Dettol cleaning product, said it has acted lawfully at all times and denied all allegations that it engaged in any wrongful conduct. The settlement is in the best interests of the company and its shareholders, it said.

The resolution will also protect the Reckitt's participation in all U.S. government programs, the company said.

Reckitt said the settlement amount will be funded through existing borrowing facilities and cash generation. The company had booked a $400 million provision, which will be increased to $1.5 billion at its half-year results to cover the settlement and any remaining litigation exposures, it said.

 

Write to Adria Calatayud at adria.calatayudvaello@dowjones.com

 

(END) Dow Jones Newswires

July 11, 2019 02:41 ET (06:41 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.

Latest RBGLY Messages

{{bbMessage.M_Alias}} {{bbMessage.MSG_Date}} {{bbMessage.HowLongAgo}} {{bbMessage.MSG_ID}} {{bbMessage.MSG_Subject}}

Loading Messages....


No posts yet, be the first! No {{symbol}} Message Board. Create One! See More Posts on {{symbol}} Message Board See More Message Board Posts
Your Recent History
LSE
GKP
Gulf Keyst..
LSE
QPP
Quindell
FTSE
UKX
FTSE 100
LSE
IOF
Iofina
FX
GBPUSD
UK Sterlin..
Stocks you've viewed will appear in this box, letting you easily return to quotes you've seen previously.

Register now to create your own custom streaming stock watchlist.

NYSE, AMEX, and ASX quotes are delayed by at least 20 minutes.
All other quotes are delayed by at least 15 minutes unless otherwise stated.

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V:us D:20200403 05:43:23