GSK shares surge after reaching settlement on Zantac ahead of California trial

GSK
GSK,
+4.87%
shares surged 6% in London action as the U.K. pharmaceutical said it reached a settlement over its Zantac heartburn medication litigation with a plaintiff in California ahead of the trial slated to start July 24 in state court. Other companies impacted by Zantac litigation fears, Haleon
HLN,
+0.62%
and Sanofi
SAN,
+1.00%,
also advanced though not by as much. GSK didn’t say the financial terms of the settlement but did say it did not admit liability. “We continue to believe the current share price reflects potential liabilities of up to [$30 billion] are being priced into the share,” said analysts at Shore Capital. “Working backwards from this implies individual settlements at c.$225k which seems towards the higher end of pay-outs made in talc or glyphos cancer-related suits.”