Shares of JHS Svendgaard Laboratories Ltd rises after its settlement with P&G

Delhi-based, JHS Svendgaard Laboratories Ltd (JHS) announced that it has settled ongoing disputes with FMCG firm Procter and Gamble (P&G) out of court.

The company has alleged that P&G had signed agreements with it in 2009-10 to manufacture toothbrush, toothpastes and detergent under its brand Oral B and Tide, but wrongfully terminated its production contract.

In a BSE filing, JHS said, "This is inform that the ongoing disputes at various courts between the company and various group companies of Procter & Gamble Inc. in India, have been settled with mutual consent and concluded positively for JHS."

After the announcement, shares of JHS Svendgaard Laboratories were trading 7.85 per cent higher at Rs 57 on the BSE.

The company added, "The settlements clear contingent liabilities to the tune of Rs 206.15 crore, from the balance sheets of JHS."