Daily Management Review

Philip Morris is discussing merger with Altria Group


After a long separation, the American tobacco giants Philip Morris and Altria Group pondering a merger. Representatives of companies spoke about a possible reunion.

Philip Morris is discussing merger with Altria Group
The details of the deal have not been disclosed, but analysts estimate that Philip Morris shareholders will receive approximately 59% of the new business, and Altria investors will get the rest. At the same time, the total capitalization the nicotine giant will exceed $ 210 billion.

The original Philip Morris company was split in 2008. Now, according to experts, the merger will help strengthen their market positions against the background of the transformation of the tobacco industry and the development of alternative smoking methods.

In particular, Altria and Philip Morris have managed to assemble a portfolio of various innovative products and investments in related sectors, such as Canadian cannabis companies.

However, traders are not as optimistic as management. The market instantly reacted to the news of the merger with a significant decrease in the stock price of both companies. Thus, Philip Morris stocks fell by more than 7.5% during trading, and Altria shares, after a short growth, also fell by almost 4%.

In addition, exchange analysts noticed unusual activity during the trading of Altria stock options. Unknown businessmen earned nearly $ 8 million in buying contracts literally a few hours before the merger was announced.

source: reuters.com

Science & Technology

UK trials new breathing aid developed by Mercedes Formula One

Uber sues Los Angeles authorities over user data collection

Google Introduces New Coronavirus Website

WHO Warns That The Youth Are ‘Not Invincible' To The Novel Coronavirus

Chinese software company learns to recognize 95% of masked faces

World's largest retailer to use 5G for medical services

SpaceX Receives Approval To Create Research & Manufacturing Facility In Los Angeles

JPMorgan: Transition to e-money will be based on blockchain

Tesla In Advance Talks With CATL For Using Lithium Batteries

Financial giants and US government turn to quantum computers

World Politics

World & Politics

Tesla Supplies Free Ventilators For Immediate Patients And Not For Storing

India Turns Train Coaches Into Isolation Wards For COVID-19 Patients

Aerospace Consortium To Build Ten Thousand Ventilator In Britain

US Ambassador To UK Holds China Responsible For Global Spread Of Coronavirus

China to lift quarantine in Wuhan on April 8

British Government Hires Former Nestle’s Executive For ‘War Room’ Food Security

Canada, Australia refuse to send athletes to Olympics 2020

Plans For A Possible Delay Of Olympics Being Formulated By Tokyo Organizers: Reuters