Philip Morris, Japan Tobacco Drop $1.5B On Russian Co. Stake

Law360, New York (December 4, 2013, 1:55 PM EST) -- Cigarette makers Philip Morris International Inc. and Japan Tobacco Inc. have agreed to pay a combined $1.5 billion for each to acquire a 20 percent stake in Russian tobacco and beverages distributor Megapolis Distribution B.V., a holding company of CJSC TK Megapolis, the companies said Wednesday.

Philip Morris and Japan Tobacco have each agreed to pay $750 million to acquire minority equity interests in the Russian distributor, as the country is the second largest cigarette market behind China. Philip Morris said Megapolis, one of Russia’s leading...
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