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Philip Morris lifts Vectura stake to 29%, halts further market trades

19th Aug 2021 10:47

(Alliance News) - Philip Morris International Inc on Thursday said it has increased its stake in takeover target Vectura Group PLC to 29%, as it called a halt to any more market purchases.

The Lausanne, Switzerland-based cigarette maker on Wednesday disclosed a 23% stake in Vectura, and appealed for institutional Vectura shareholders to sell their holdings to Philip Morris.

Philip Morris, who has now bought a further 39.3 million Vectura shares for 165 pence each, said it "does not currently intend to make any further market purchases."

Chippenham, Wiltshire-based inhaler maker Vectura has already accepted Philip Morris's 165p-per-share takeover offer. However, the deal still requires approval from shareholders.

Three of Vectura's largest investors owning 11% between them - Axa Investment Managers, TIG Advisers and Berry Street Capital Management - publicly backed a rival bid from Carlyle Group Inc.

Meanwhile, health charities have warned against the acquisition of a healthcare company by a tobacco firm.

Shares in Vectura were little changed at 163.63 pence in London on Thursday morning. Philip Morris fell 1.5% to USD100.95 in New York on Wednesday.

By Ivan Edwards; [email protected]

Copyright 2021 Alliance News Limited. All Rights Reserved.


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