Latest news with #Strepsils
Business Recorder
a day ago
- Business
- Business Recorder
CCP successfully clears backlog of pending cases by over 40pc
ISLAMABAD: The Competition Commission of Pakistan (CCP) has successfully cleared backlog of pending cases by over 40 percent since assumption of charge of CCP Chairman by Dr Kabir Ahmed Sidhu in August 2023. The CCP has made significant progress in reducing its legal backlog and recovering penalties, marking a major turnaround in the enforcement of competition law. When the new management took charge in August 2023, the CCP faced 567 pending cases across different courts. Through early hearing applications and aggressive follow-up, 223 cases have since been decided, cutting the backlog by more than 40 percent. The biggest relief came in the Competition Appellate Tribunal (CAT), where 121 cases were decided out of 210, bringing down pendency by 58 percent. The Lahore High Court decided 39 cases, reducing backlog by 78 percent, while the Sindh High Court disposed of 40 cases, a 61 percent cut. The Islamabad High Court decided 13 cases, lowering pendency by 43 percent. At the Supreme Court, 11 cases were decided, and 171 cases challenging CCP's mandate have been clubbed for a single hearing. The resolution of cases has enabled the CCP to recover imposed penalties. In the past year alone, the Commission recovered PKR 360 million, surpassing the total PKR 201 million collected since its establishment in 2007. One of the landmark judgments was delivered by the Supreme Court of Pakistan in the Dalda Foods vs CCP case, which strengthened the CCP's enforcement capacity. The apex court unanimously upheld the Commission's statutory powers to gather information and conduct inquiries under Section 36 of the Competition Act, 2010. The Court ruled that companies are bound to comply with CCP directives and that the Commission is not required to provide detailed reasoning before launching an inquiry. Similarly, in a case on alleged cartelization in the poultry sector, the Lahore High Court upheld CCP's authority to pursue investigations into price-fixing. Justice Jawad Hassan stressed that show-cause notices cannot be prematurely challenged in High Courts and must first go through CCP's adjudication process, reaffirming the regulator's autonomy. A major breakthrough that helped the swift resolution of cases was the revival of the Competition Appellate Tribunal, after the appointment of Justice Sajjad Ali Shah as Chairman with members Dr Faiz Elahi Memon and Asim Akram. The tribunal has disposed of 121 cases, leaving only 89 pending, and delivered rulings that have both reduced penalties and clarified key points of law. Notable decisions by CAT include upholding fines on Reckitt Benckiser (Strepsils), PVMA, ICAP, and British Lyceum, while reducing penalties on PREMA Milk, Diamond Paints, 3N Lifemed, and Pakistan Steel Mills. In the high-profile Sugar Mills cartel case involving Rs 44 billion, the tribunal remanded the matter back to CCP, ruling that the Chair's casting vote was invalid. Copyright Business Recorder, 2025
Time of India
5 days ago
- Business
- Time of India
UK's Reckitt raises revenue outlook after second quarter beats expectations
Consumer goods company Reckitt raised its annual revenue forecast on Thursday after second-quarter net sales growth topped expectations as strength in emerging markets offset weakness in North America and Europe. Shares jumped 10% to their highest level since early 2024 and were headed for their biggest one-day percentage gain since 2000. Reckitt, the maker of Durex condoms and Lysol cleaning products, is pivoting to focus on its 11 so-called "power brands" under CEO Kris Licht, as the sector grapples with weak demand and intense competition. The company reported like-for-like quarterly net revenue growth of 1.9%, compared with 1.7% forecast in a company-compiled consensus. Reckitt also announced a new share buyback programme of 1 billion pounds over the next 12 months. Growth in North America and Europe fell short of expectations, dragged by a challenging consumer backdrop and the expected shelf reset of its flu relief medicine Mucinex due to reformulation. But strong sales in China, India and Latin America made up for weakness in those key markets. Among Reckitt's other well-recognised brands are Strepsils throat lozenges and Harpic bathroom cleaning products. "We delivered excellent growth in emerging markets and navigated a challenging consumer environment in our developed markets," Licht said in a statement. Reckitt raised its 2025 like-for-like net revenue growth forecast for its core business to above 4%, from between 3% and 4% expected earlier. It now expects overall group like-for-like net revenue growth between 3% and 4% for the year, compared with an earlier forecast of 2% to 4% growth. The company last week sold a majority stake in its Essential Home business to private equity firm Advent for $4.8 billion. It is also looking at strategic options for its Mead Johnson division, which is the subject of a number of baby formula lawsuits in the U.S. Reckitt posted operating profit of 1.71 billion pounds ($2.32 billion) for the six months ended June 30, beating analysts' average expectations of 1.66 billion pounds.
Bloomberg
24-07-2025
- Business
- Bloomberg
Reckitt Raises Outlook on Strong Sales, Announces Share Buyback
Reckitt Benckiser Group Plc expects higher revenue growth from its core brands this year, and kicked off a £1 billion ($1.4 billion) share buyback. The maker of Strepsils lozenges raised its guidance for like-for-like net revenue growth at its major brands to above 4%, according to a statement Thursday, higher than its previous forecast of as much as 4%.
Irish Examiner
18-07-2025
- Business
- Irish Examiner
Reckitt to sell homecare unit including Air Wick and Cillit Bang for $4.8bn
Reckitt Benckiser agreed to sell most of its homecare business to private equity firm Advent International for an enterprise value of up to $4.8bn (€4.12bn) as the UK consumer goods company focuses on faster-growing operations. Reckitt said it will retain a 30% stake in the business, whose brands include Air Wick air fresheners and Cillit Bang cleaners. The enterprise value includes up to about $1.3bn (€1.1bn) of contingent and deferred consideration, the company said on Friday. Shares of Reckitt rose as much as 2.3% in early London trading before paring back some of the gains. The stock is up nearly 14% in the past 12 months Chief executive Kris Licht last year announced plans to sell some of Reckitt's non-core homecare brands and review options for its infant formula business. The proposed sale was part of his strategy to streamline Reckitt and focus on faster growing parts of the business, after a difficult few years where consumer goods companies have had to contend with stretched consumer budgets and shoppers trading down to unbranded products. Reckitt's homecare unit was boosted during the pandemic when demand for cleaners and disinfectants soared, but those benefits have diminished. The company now expects faster growth from consumer-health labels like Strepsils lozenges, Durex condoms and Mucinex cold remedies, while retaining better performing home-care brands like Lysol and Dettol. Reckitt expects to pay a special dividend of $2.2bn (€1.89bn) to shareholders following the completion of the deal, which is expected by December 31. It will also incur one-time costs of about $800m related to the transaction. Barclays and Citigroup advised Advent, while Goldman Sachs and Morgan Stanley were lead financial advisers to Reckitt. The valuation for the businesses being sold is below the initial $8bn Reckitt sought when it put the brands up for sale last year. Reckitt's sale process was hit with anxiety around US tariffs, which has cast uncertainty over the the outlook for global businesses with international manufacturing. The deal has been structured so that the greater risk in the current market environment is shared between the two parties, with Reckitt retaining a stake and needing to hit certain milestones to generate the full payout. With a lot resting on a successful execution of a deal for the homecare assets this outcome should still 'be a boost to management's credibility,' according to James Edwardes Jones and Wassachon Udomsilpa, RBC analysts. They said it will enable investors to focus more closely on the core Reckitt business in a note to clients. The deal will be financed with about $2.3bn of term loans, denominated in euro and dollars, underwritten by a group of banks and it's expected to be syndicated to institutional investors post summer. In March, Reckitt said it expects modest sales growth this year as it reshapes the business — a move it said would deliver a significantly stronger performance starting in 2026. The infant formula unit, created by the $17bn acquisition of Mead Johnson in 2017, remains a sore point for Reckitt. Licht acknowledged last year that the unit, which has been hit by legal woes in the US, hasn't always been a natural fit in the group. Bloomberg
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Business Standard
18-07-2025
- Business
- Business Standard
Reckitt Benckiser sells homecare brands to Advent in $4.8 billion deal
Reckitt Benckiser Group Plc agreed to sell most of its homecare business to private equity firm Advent International for an enterprise value of up to $4.8 billion as the UK consumer goods company focuses on faster-growing operations. Reckitt said it will retain a 30 per cent stake in the business, whose brands include Air Wick air fresheners and Cillit Bang cleaners. The enterprise value includes up to about $1.3 billion of contingent and deferred consideration, the company said Friday. Shares of Reckitt rose as much as 2.3 per cent in early London trading before paring back some of the gains. The stock is up nearly 14 per cent in the past 12 months through Thursday's close. Chief Executive Officer Kris Licht last year announced plans to sell some of Reckitt's non-core homecare brands and review options for its infant formula business. The proposed sale was part of his strategy to streamline Reckitt and focus on faster growing parts of the business, after a difficult few years where consumer goods companies have had to contend with stretched consumer budgets and shoppers trading down to unbranded products. Reckitt's homecare unit was boosted during the pandemic when demand for cleaners and disinfectants soared, but those benefits have diminished. The company now expects faster growth from consumer-health labels like Strepsils lozenges, Durex condoms and Mucinex cold remedies, while retaining better performing home-care brands like Lysol and Dettol. Reckitt expects to pay a special dividend of $2.2 billion to shareholders following the completion of the deal, which is expected by Dec 31. It will also incur one-time costs of about $800 million related to the transaction. Barclays Plc and Citigroup Inc. advised Advent, while Goldman Sachs Group Inc. and Morgan Stanley were lead financial advisers to Reckitt. The valuation for the businesses being sold is below the initial £6 billion ($8 billion) Reckitt sought when it put the brands up for sale last year, Bloomberg News reported earlier. Potential buyers, which also included Lone Star Funds, pitched valuations in a lower range of £3 billion to £4 billion, according to people familiar with the matter. The deal represents a compromised exit of the asset, according to David Hayes and Molly Wylenzek, equity analysts at Jefferies. 'At only a net value of £3 billion it is up to £1 billion lower than many had hoped,' they said in a note. Reckitt's sale process was hit with anxiety around US tariffs, which has cast uncertainty over the the outlook for global businesses with international manufacturing. The deal has been structured so that the greater risk in the current market environment is shared between the two parties, with Reckitt retaining a stake and needing to hit certain milestones to generate the full payout. With a lot resting on a successful execution of a deal for the homecare assets this outcome should still 'be a boost to management's credibility,' according to James Edwardes Jones and Wassachon Udomsilpa, RBC analysts. They said it will enable investors to focus more closely on the core Reckitt business in a note to clients. The deal will be financed with about €2 billion ($2.3 billion) of term loans, denominated in euros and dollars, underwritten by a group of banks and it's expected to be syndicated to institutional investors post summer. In March Reckitt said it expects modest sales growth this year as it reshapes the business — a move it said would deliver a significantly stronger performance starting in 2026. The infant formula unit, created by the $17 billion acquisition of Mead Johnson in 2017, remains a sore point for Reckitt. Licht acknowledged last year that the unit, which has been hit by legal woes in the US, hasn't always been a natural fit in the group.
