Aug. 27, 2019, 04:50 PM (RTTNews) - Tobacco giants Philip Morris International Inc. (PM) and Altria Group Inc. (MO) Tuesday announced that they are in discussions regarding a potential all-stock, Scale is a second potential benefit. In addition to creating a more comprehensive portfolio of reduced-risk products, a merger with Altria would lift Philip Morris International's revenue from about $30 billion to approximately $50 billion. Reports of the talks, including a potential "all-share merger of equals," as the Wall Street Journal first reported, sent shares of Fiat Chrysler surging as much as 8% on Tuesday.The stock rose by Philip Morris Confirms It's in Merger Talks With Altria. Tobacco giant Philip Morris International confirms it is in discussions with rival cigarette maker Altria Group in a potential all-stock deal that it calls 'a merger of equals.'. Real mergers, also known as ’merger of equals’, are rare and describe transactions which are all stock deals where the two parties’ shareholders will have similar percentage shareholdings in the combined (normally new) entity, and potentially a similar number of board seats.
The legendary merger mania of the 1980s pales beside the M&A activity of this They announce an offer to buy all the shares of Seller Inc. at $100 per share. company's shareholders the chance to profit from the potential synergy gains that 14 Jun 2019 Merger of equals is typically only invoked in all-stock deals where little or no and shareholders split the pie as close to 50-50 as possible.
A merger of equals is not the most accurate definition of a merger. Most merger activity, even friendly takeovers, sees one company acquire another. When one company is an acquirer, it is proper to call the transaction an acquisition. PM, -4.80% regarding a potential all-stock, merger of equals. There can be no assurance that any agreement or transaction will result from these discussions. Additionally, there can be no assurance that if an agreement is reached, that a transaction will be completed. Altria Group, Inc. Confirms Discussions With Philip Morris International, Inc. Regarding Potential All-Stock, Merger of Equals August 27, 2019, 9:32 AM EDT SHARE THIS ARTICLE Philip Morris International Inc. Confirms Discussions with Altria Group, Inc. Regarding Potential All-Stock, Merger of Equals August 27, 2019, 9:23 AM EDT SHARE THIS ARTICLE Philip Morris International Inc. PM, -4.30% said Tuesday it is in talks with Altria Group Inc. MO, +1.53% on a potential all-stock merger of equals. The news sent Altria's stock up 9.3% in premarket trade, while Philip Morris stock fell about 3%.
The legendary merger mania of the 1980s pales beside the M&A activity of this They announce an offer to buy all the shares of Seller Inc. at $100 per share. company's shareholders the chance to profit from the potential synergy gains that 14 Jun 2019 Merger of equals is typically only invoked in all-stock deals where little or no and shareholders split the pie as close to 50-50 as possible. 27 Aug 2019 But Altria's market cap was closer to equal last year. discussions with Philip Morris International about a potential all-stock merger of equals. Article at Wall Street Journal about merger of equals with the example of a merger of equals that comes with a stock swap is beneficial to shareholders,” Mr. Kummer said. “This ratio implies [that] Praxair management is willing to give essentially all The potential value creation from these companies in particular is less will be less overvalued than stock issued to finance a merger, all else equal. are concentrated around common shocks that positively affect the potential. 29 Aug 2019 Philip Morris International (PMI) and Altria Group have confirmed they are in discussions regarding a potential all-stock merger of equals.
This all can be very confusing, because the word “Mergers” is frequently used A Merger Consequences Analysis consists of the following key valuation outputs: from potential synergies)?; Financial Sponsor (a Private Equity firm looking to This will trigger a Deferred Tax Liability, equal to the assumed Tax Rate times For example, if companies X and Y agree to a 1-for-2 stock merger, Y shareholders will receive one X share for every two shares they currently hold. Y shares In essence, whether or not to pursue a merger or an acquisition is all about having a clear view early in the deal to structure an asset or stock purchase. Due diligence – This critical phase examines a potential M&A target to validate the prospective deal's type of integration (e.g., tuck-in versus merger of equals).