PHARMACEUTICAL INDUSTRY
Reckitt has a job to do after Pfizer pursuit fizzles
London — British hygiene firm Reckitt Benckiser’s decision to drop its pursuit of Pfizer’s consumer health assets leaves it with a tough job to restore growth to its flatlining business. With a deal off the table, investors will turn their attention to Reckitt’s internal challenges, including the integration of Mead Johnson, the ailing baby formula maker it bought for $17bn in 2017, and reigniting sales growth. "The market has been used to Reckitt being the company that consistently delivered ahead-of-market volume growth and last year they didn’t," said Reckitt shareholder Steve Clayton at Hargreaves Lansdown. "They really need to pick the crown up and get it back on their head." Reckitt has forecast 2%-3% like-for-like sales growth for 2018, after no growth in 2017. The consumer goods company was in the running for some of the consumer health brands being sold by Pfizer. Many investors worried about Reckitt’s ability to fund and manage a deal that could have reached $20bn so soon ...
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