Merger of Altria, UST clears waiting period hurdle

By Lisa Kerner

Charlotte, N.C., Oct. 16 - The Federal Trade Commission granted early termination of the Hart-Scott-Rodino waiting period in Altria Group, Inc.'s proposed acquisition of UST Inc.

UST said it is planning to hold a special shareholder meeting on or about Dec. 4 for the purpose of approving the deal.

Record date for the meeting is Oct. 23, according to a UST news release.

The transaction is expected to close by Jan. 7.

Altria Group and UST recently amended their merger agreement to extend the closing date and increase the reverse termination fee payable by Altria to $300 million from $200 million under certain circumstances.

In September, Altria agreed to acquire all outstanding shares of UST for $69.50 each in a transaction valued at about $11.7 billion, including the assumption of about $1.3 billion of debt.

UST is a holding company for U.S. Smokeless Tobacco Co., a producer and marketer of moist smokeless tobacco products including Copenhagen, Skoal, Red Seal and Husky. The company is located in Stamford, Conn.

Altria, located in Richmond, Va., manufactures and sells cigarettes and other tobacco products. It is the parent company of Philip Morris USA.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.