Reckitt Benckiser’s share price (LON:RB) has fallen deep into the red as the Nurofen maker announced that it had appointed PepsiCo’s global chief commercial officer to the top job. The news comes after the company’s CEO Rakesh Kapoor unveiled plans earlier this year to step down.
As of 08:56 BST, Reckitt Benckiser’s share price had given up 1.30 percent to 6,312.00p, underperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.37 percent lower at 6,312.00 points. The group’s shares have added a little more than six percent to their value over the past year, as compared with about a four-percent fall in the Footsie.
RB appoints chief executive
Reckitt Benckiser announced in a statement this morning that it had appointed Laxman Narasimhan as CEO to succeed Rakesh Kapoor. Narasimhan, who will take the top job from September 1, joins from PepsiCo where he is currently the Global Chief Commercial Officer responsible for the company’s integrated long-term growth strategy. He will serve as chief executive of the FTSE 100 group, while also directly leading the Health Business Unit.
“The Board is delighted to have appointed Laxman as our new Chief Executive Officer after a thorough and rigorous global selection process from a strong bench of internal and external candidates,” Chris Sinclair, chairman of Reckitt’s board, commented in the statement, adding that the new CEO’s initial priorities would be “to focus on delivering outperformance, especially in the Health business unit, and to drive RB2.0.”.
Analysts on Nurofen maker
The 19 analysts offering 12-month targets for the Reckitt Benckiser share price for the Financial Times have a median target of 6,900.00p, with a high estimate of 9,000.00p and a low estimate of 5,300.00p. As of June 10, the consensus forecast amongst 23 polled investment analysts covering the blue-chip group has it that the company will outperform the market.