Johnson & Johnson $8.9B Talc Settlement In Jeopardy: Judge Dismisses Second Bankruptcy Attempt
Portfolio Pulse from Vandana Singh
A US judge has rejected Johnson & Johnson's (JNJ) second attempt to address talc-related lawsuits through bankruptcy, putting a proposed $8.9 billion settlement at risk. The judge ruled that J&J's subsidiary, LTL Management, did not demonstrate immediate financial distress due to the lawsuits. JNJ shares are down 3.87% at $167.71.
July 31, 2023 | 4:27 pm
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Johnson & Johnson's second bankruptcy attempt related to talc lawsuits has been rejected, threatening a proposed $8.9 billion settlement. This has led to a drop in JNJ's stock price.
The rejection of JNJ's second bankruptcy attempt puts a proposed $8.9 billion settlement at risk, which could lead to a significant financial burden for the company. This uncertainty is likely causing investors to sell, leading to a drop in the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100