Philip Morris Intercontinental (NYSE:PM) is anticipated to elevate its bid for Swedish Match (OTCPK:SWMAY).
Philip Morris (PM) may possibly announce the revised bid for snus maker Swedish Match, up from its primary $16 billion provide in May, on Thursday, according to a WSJ report.
Independently, Philip Morris (PM) agreed to pay out $2.7 billion to regain the U.S. rights for its IQOS heated tobacco goods from Altria (NYSE:MO), according to a assertion from Altria on Wednesday evening. Altria obtained a payment of $1 billion upon moving into the arrangement and PM is obligated to make an extra payment of $1.7 billion (furthermore fascination) by July 2023.
The revised bid for Swedish Match arrives soon after activist investor Elliott and other traders have greater their stakes in the snus maker in buy to strain Philip Morris (PM) to pay out a lot more in a takeover.
Philip Morris (PM) needs 90% approval from Swedish Match shareholders by Friday for the deal to make it to the complete line.
Hedge money Davidson Kempner Money Management and HBK Capital Administration, DE Shaw, Farallon Cash Management, and Pentwater Funds Management are described to be crucial players pushing for a larger bid.
Philip Morris (PM) is anticipated to report Q3 earnings on Thursday amid inflationary, Forex headwinds.