Shares of Indivior PLC (LON: INDV) are trading over 3% higher on the day after plunging by 19.82% on Friday following legal claim from Reckitt Benckiser Group in relation to their demerger deal.
Indivior is hit by a £1 billion opioid legal claim from the former parent company Reckitt in the context of its opioid dependency treatment Suboxone. Reckitt submitted a 1.07 billion pound claim to the Commercial Court in London against Indivior.
The drugmaker played down the significance of this legal claim by saying it plans to “vigorously defend” the claim in front of the court.
The firm “strongly believes that the claim is without merit and that it has strong grounds for defending against the claim should it be served,” it is said in today’s statement.
“The claim has not been served on [Indivior] and the company does not have any further details at this time. The company will assess with its advisers the background and merits to the case and will provide an update in due course.”
Earlier this year, Indivior agreed to a settlement of $600 million with the Department of Justice (DoJ) and other bodies. Similarly, Reckitt Benckiser agreed to pay around $1.4 billion in July last year to settle the charges.
Indivior share price initially crashed about 40% before recovering to close 19.82% lower on Friday. Shares now trade about 3% higher above the 100p mark.
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