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    GSK   GB00BN7SWP63


Delayed London Stock Exchange  -  11:35 2022-09-23 am EDT
1313.20 GBX   +1.33%
02:34aGSK PLC Names Julie Brown as New CFO; Iain Mackay to Retire in May
02:20aGSK CFO to Retire; Burberry Operations/Finance Chief Named Successor
02:07aGSK picks Burberry's Brown as CFO
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GSK, Sanofi, Haleon Shares Recover Some Recent Losses After Zantac Drug Responses

08/12/2022 | 02:33am EDT

By Sabela Ojea and Ian Walker

Shares in GSK PLC, Sanofi and Haleon PLC all rose on Friday--recouping some of their losses over the past few days--after the companies issued statements responding to recent comments related to the U.S. lawsuits over discontinued heartburn drug Zantac.

Shares of GSK are currently trading 2.0% higher at 1,427.60 pence, Sanofi 0.4% higher at EUR85.18 and Haleon 0.3% higher at 266.70 pence.

Shares in all three companies have fallen in double-digit levels since Tuesday after a number of analyst notes highlighted the potential exposure the companies faced as part of the litigation.

Analysts at Deutsche Bank said some "billions of dollar magnitude" liabilities could be incurred while analysts at Credit Suisse noted that Haleon's prospectus says indemnification "may" include liabilities from Zantac.

Responding to the comments, GSK said there has been no material developments to that previously disclosed. It added that the U.S. Food and Drug Administration and European Medicines Agency had all independently concluded there was no evidence of a causal association between ranitidine therapy and the development of cancer.

"The overwhelming weight of the scientific evidence supports the conclusion that there is no increased cancer risk associated with the use of ranitidine. Suggestions to the contrary are therefore inconsistent with the science, and GSK will vigorously defend itself against all meritless claims alleging otherwise," GSK said.

Haleon PLC said it hasn't been notified about potential negative implications of U.S. lawsuits over discontinued heartburn drug Zantac.

The consumer-healthcare business, which was spun out of GSK PLC and is partly owned by Pfizer Inc., said it isn't a party to any of the Zantac claims and that it never marketed the drug in any form in the U.S.

Sanofi has reiterated previous comments that it remains confident in its defenses to the litigation and stands by the safety of the medicine. It said the first trial, where it may be a defendant to, is currently scheduled for February 2023 and due to be held in California. "Sanofi is not a defendant in many of the other cases currently set for trial," it said.

Two other trials over Zantac are set for Aug. 22 and February 2023 in Madison County, Illinois.

GSK is being named in all three trials and has served Haleon with notice of potential claims connected to OTC Zantac.

The litigation dates back to 2019 when the U.S. Food & Drug Administration alerted the public that some medicines--including Zantac--included higher than the allowed levels of N-nitrosodimethylamine, a contaminant found in drinking water, soil, and common foods.

GSK shares have fallen 15% since Tuesday to close at 1400 pence on Thursday; Haleon shares have fallen 13% to close at 265.8 pence and Sanofi shares have fallen 11% to close at EUR84.75.

GSK sold the prescription version of the drug in the U.S. beginning in 1983, then sold the over-the-counter version from 1995 to 1998. In 2000, Pfizer bought the company that owned the over-the-counter version at the time, and marketed it until 2006. After that, the drug wound up with the private German firm Boehringer Ingelheim, which sold it in 2017 to Sanofi.

Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix and Ian Walker at ian.walker@wsj.com

(END) Dow Jones Newswires

08-12-22 0433ET

Stocks mentioned in the article
ChangeLast1st jan.
CREDIT SUISSE GROUP AG -12.40% 4.071 Delayed Quote.-54.11%
DEUTSCHE BANK AG -4.44% 8.632 Delayed Quote.-21.66%
GSK PLC 1.33% 1313.2 Delayed Quote.-20.10%
HALEON PLC 4.30% 277.45 Delayed Quote.0.00%
PFIZER, INC. -1.10% 44.08 Delayed Quote.-25.35%
SANOFI -0.05% 78.81 Real-time Quote.-11.03%
All news about GSK PLC
02:34aGSK PLC Names Julie Brown as New CFO; Iain Mackay to Retire in May
02:20aGSK CFO to Retire; Burberry Operations/Finance Chief Named Successor
02:07aGSK picks Burberry's Brown as CFO
02:06aGSK picks Burberry's Julie Brown as CFO
02:05aGSK Appoints Julie Brown As CFO
12:19aBurberry Group's Departing CFO to Assume Same Role at GSK
12:01aJULIE BROWN : GSK to Appoint Julie Brown as Next Finance Chief, Sky Reports
09/24JULIE BROWN : GSK poaches Burberry CFO Julie Brown to create all-female top team - Sky New..
09/24GSK Poaches Burberry CFO To Create All-Female Top Team - Sky News
09/24Julie brown, will be unveiled next week as the new chief financi…
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Analyst Recommendations on GSK PLC
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Sales 2022 28 226 M 30 859 M 30 859 M
Net income 2022 4 503 M 4 923 M 4 923 M
Net Debt 2022 14 354 M 15 693 M 15 693 M
P/E ratio 2022 11,3x
Yield 2022 4,67%
Capitalization 53 163 M 58 121 M 58 121 M
EV / Sales 2022 2,39x
EV / Sales 2023 2,25x
Nbr of Employees 90 096
Free-Float 93,7%
Duration : Period :
GSK plc Technical Analysis Chart | MarketScreener
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Technical analysis trends GSK PLC
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus OUTPERFORM
Number of Analysts 24
Last Close Price 1 313,20 GBX
Average target price 1 874,20 GBX
Spread / Average Target 42,7%
EPS Revisions
Managers and Directors
Emma N. Walmsley Chief Executive Officer & Executive Director
Iain James Mackay Chief Financial Officer & Executive Director
Jonathan Richard Symonds Non-Executive Chairman
Jon Ellis VP & Head-Technology Business Development
Tony Wood Chief Scientific Officer
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