20th Aug 2015 12:18
LONDON (Alliance News) - Tobacco giant British American Tobacco PLC on Thursday said it has signed a deal with fund manager Aberdeen Asset Management PLC for the latter to sell shares in Brazilian tobacco company Souza Cruz not owned by BAT and therefore allow the company to be delisted.
Under the terms of the agreement, Aberdeen will consent to the delisting of Souza Cruz shares and will sell all of its shares to BAT as part of the tender offer process. Souza Cruz will then be delisted.
Aberdeen is the second largest shareholder in Souza Cruz behind BAT with a 4.5% stake.
BAT initially filed to delist Souza Cruz back in May. The tender offer it has made is for the 24.7% of Souza Cruz shares it does not already own.
BAT added the review of the tender offer to buy the shares by the Brazilian regulator, Comissão de Valores Mobiliários, is ongoing and BAT is awaiting regulatory approval for the move. It expects to be in the position to launch the offer in September.
BAT shares were down 2.6% to 3,561.5 pence on Thursday early afternoon, the worst performer in the FTSE 100 as it went ex-dividend.
By Sam Unsted; [email protected]; @SamUAtAlliance
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