LondonThe cigarette manufacturer BAT (“Lucky Strike”) takes over the US rivals Reynolds (“Camel”). The purchase agreement amounts to approximately 49.4 billion dollars, said both companies on Tuesday. BAT increased its offer, after Reynolds had recently rejected an offer of around 47 billion dollars. Thus, British American Tobacco (BAT) acquired the remaining 57.8 percent, which the group has not held so far to the Americans. Reynolds shareholders will receive for each share certificate 29,44 dollars in cash and 0.53 of BAT shares. This corresponds to the information, a premium of 26 percent to the stock price of 20. October.
BAT CEO Nicandro Durante said that the two companies complemented each other well. The merger is both strategically and financially sensible. The new group would become the number one in the world and brands such as Pall Mall, Dunhill, Lord and Prince under one roof to unite.
info graphic of the cigarette market: Smoking-sign
Since may, 2016 are obliged to producers in the European Union, shock images on cigarette and tobacco packs to warn smokers about the risks of consumption. Also due to higher tobacco taxes and Smoking bans, cigarette sales slumped in Germany and other European countries in the past few years.
The Treasury has were earned after the introduction of shock images and larger warnings on packs of cigarettes and other tobacco in the past year, less in the smokers. According to data of the Federal Statistical office from Friday 75,0 billion cigarettes were taxed. The were 7.7 percent, or 6.3 billion less than in the previous year.
Total. in the past year, tobacco products are taxed with a sales value in the trade of 25.1 billion Euro, 1.1 billion Euro or 4.2 percent less than in the previous year In 2015, more cigarettes for the first time in four years following the tax year.