Philip Morris International’s $16 Billion Recommended Cash Offer for Swedish Match

Cleary Gottlieb is representing Goldman Sachs Bank Europe SE (Goldman Sachs) as financial advisor to Swedish Match AB (Swedish Match) in the recommended cash offer by an affiliate of Philip Morris International Inc. (PMI) to acquire all of Swedish Match’s shares at a price of SEK 106 in cash per share.

The offer values Swedish Match at approximately SEK 161.2 billion (approximately $16 billion).

Goldman Sachs delivered a fairness opinion to Swedish Match’s board of directors in connection with the offer.

The offer was announced on May 11, 2022, and completion of the offer is subject to customary conditions precedent, including a 90% acceptance condition and required antitrust and regulatory approvals.

Swedish Match develops, manufactures, and sells products including ZYN (nicotine pouches), General (snus), Longhorn (moist snuff), Onico (pouch products with neither tobacco nor nicotine), America’s Best Chew (chewing tobacco), Thunder (chew bags), Oliver Twist (tobacco bits), White Owl (HTL, homogenized tobacco leaf cigars), Game (natural leaf cigars), Fiat Lux (matches), and Cricket (lighters). Production is located in seven countries with the majority of sales coming from the U.S. and Scandinavia. Swedish Match in incorporated in Sweden, and its shares are listed on Nasdaq Stockholm.

PMI is a leading international tobacco company evolving its portfolio for the long term to include products outside of the tobacco and nicotine sector. PMI is incorporated in Virginia, and its shares are traded on the New York Stock Exchange.

For more information, please see the press release here.