Reckitt pays USD1.4bn to settle opioid treatment spat

British consumer health giant Reckitt Benckiser announced Thursday it will pay up to USD1.4 billion (1.2 billion euros) to settle a dispute with US authorities over the sale and marketing of an opioid addiction treatment.

The case concerns the pharmaceutical company Indivior, which was an RB subsidiary before demerging in 2014.

The US authorities criticised Indivior for having sought to take advantage of the opioid addiction crisis in the United States by exaggerating the safety of its drug Suboxone.

RB said it had reached agreements with the US Department of Justice and the Federal Trade Commission to resolve the long-running investigation.

"RB will pay a total of up to $1.4 billion to fully resolve all federal investigations into RB in connection with the subject matter," the firm said in a statement.

The agreements cover the Indivior indictment and claims relating to state Medicaid programmes for those states choosing to participate in the settlement, said the group.

"While RB has acted lawfully at all times and expressly denies all allegations that it engaged in any wrongful conduct, after careful consideration, the board of RB determined that the agreement is in the best interests of the company and its shareholders," a statement said.

"It avoids the costs, uncertainty and distraction associated with continued investigations, litigation and the potential for an indictment."