LPETTET/iStock Unreleased via Getty Images Reckitt Benckiser ( OTCPK:RBGPF ) edged higher by 0.5% in trading in London amid a report that activist investor Eminence Capital has taken a small stake. Eminence owns at least an 0.
5% stake in Reckitt after it began purchased shares in March as they dropped towards an all-time low, according to a Financial Times report on Tuesday, which cited people familiar with the matter. Eminence purchased the shares after Reckitt shares plunged 15% in mid March after amid a jury verdict against the company over its Enfamil baby formula. The verdict is the first of hundreds of cases that have been filed against Mead Johnson and fellow infant formula maker Abbott ( ABT ) Over 400 cases involving NEC have been filed in Chicago federal court, with others pending in state courts, Reuters said in March.
The Eminence stake is likely to increase calls for Reckitt CEO Kris Licht to push for a sale of the baby formula division, the people familiar told the FT. More on Reckitt Benckiser Reckitt Benckiser Group plc (RBGPF) Q1 2024 Earnings Call Transcript Reckitt Benckiser: Maybe Caution Is Appropriate Reckitt Benckiser Group plc 2023 Q4 - Results - Earnings Call Presentation Reckitt unsure how many cases have been filed over Enfamil: report Jury orders Reckitt Benckiser to pay $60M in baby formula case.
