Bangladesh, Nov. 3 -- Reckitt Benckiser (Bangladesh) has revised its licensing arrangements with three foreign entities of its parent group, setting a uniform royalty rate of 6 per cent of net revenue for selected brands, a move that may increase costs and put pressure on its profitability.
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The new arrangements, effective from January this year, replace previous agreements with Reckitt Benckiser (ENA) B.V. of the Netherlands and Reckitt Benckiser Health of the UK. A third agreement has been signed with Reckitt Benckiser LLC of the USA.
The company announced the cancellation of the previous agreements and execution of the new ones at a meeting on Thursday last week, according to a disclosure published on the Dhaka Stock Excha...