UK watchdog requires Reckitt to license K-Y brand for 8 years

LONDON (Reuters) - Britain's competition watchdog on Wednesday said consumer goods maker Reckitt Benckiser (RB.L) must license the K-Y brand in Britain to a third party for eight years, to assuage concerns about competition arising from its proposed purchase of the brand from Johnson & Johnson (JNJ.N).

The Competition and Markets Authority said the purchase of K-Y personal lubricants by the owner of the Durex brand could lead to a "substantial lessening in competition making customers ... worse off due to higher prices".

The eight-year period is aimed at giving competitors time to develop a new brand to rival Reckitt's Durex range.

(Reporting by Martinne Geller in London, editing by David Evans)