Thursday, December 7

Activist investor Elliott building stake in Swedish Match – Bloomberg News


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Activist firm investment Elliott Investment Management is building a stake in tobacco and nicotine products maker Swedish Match AB, Bloomberg News reported on Thursday, citing people familiar with the matter.

Elliott plans to oppose the nearly $16 billion buyout deal for Swedish Match made by Philip Morris under its current terms, the report said. (https://bit.ly/3P7BLwQ)

Elliott managed nearly $51.5 billion of assets as of last year.

Swedish Match and Philip Morris did not immediately respond to Reuters requests for comment. Elliott declined to comment.

Hedge fund Bronte Capital, a shareholder of Stockholm-based Swedish Match, has also opposed the takeover previously, saying the offer price was “unacceptable.” Some 90% of shareholders need to agree to the deal for it to proceed under Swedish law.

Another shareholder abrdn has also said it was not clear whether the long-term value of Swedish Match was reflected in Philip Morris’ offer price. (Reporting by Niket Nishant in Bengaluru; Editing by Shailesh Kuber)



financialpost.com