3rd Mar 2015 07:15
LONDON (Alliance News) - British American Tobacco PLC Tuesday said its Brazilian unit British American Tobacco Prestação de Serviços Ltda has filed a request with the Brazilian securities regulator to register a public tender offer to acquire up to all of the 24.7% of Souza Cruz shares which are not currently owned by BAT and to delist the company.
In a statement, the tobacco company said it is offering BRL26.75 a share in cash for the remaining Souza Cruz stake, minus any dividend paid by Souza Cruz. That price would be a 30.0% premium to Souza Curz's volume weighted average closing share price over the three months to February 20.
In accordance with the relevant Brazilian rules, N M Rothschild & Sons (Brasil) Limitada was appointed as independent evaluator and has carried out an independent valuation of Souza Cruz as part of the offer process which has been filed with the Comissão de Valores Mobiliários. On a discounted cashflow basis, the Rothschild report gives a range of BRL22.09 to BRL24.54 per Souza Cruz share.
By Steve McGrath; [email protected]; @stevemcgrath1
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