LONDON. Some multinational companies recently selected the options of acquisition and merger to expand market network, as well as to control operational costs through efficiency programs. The companies adopted the strategies amid the slow global economic growth. The British based cigarette producer British American Tobacco (BAT) sees to acquire the majority shares of the Reynolds American Inc. The 57.8% Reynolds stocks are worth for US$47 billion or equal with around IDR611 trillion. As reported by Reuters on Friday (2/10), the acquisition will lead BAT and Reynolds to be the largest cigarette companies in the world. Reynolds itself is the second largest cigarette company in the US after Philip Moris International. Last year, Reynold just spent US$25 billion to acquire its competitor in the US, namely Lorrilard Tobacco Company.
Acquisition season for global corporations
LONDON. Some multinational companies recently selected the options of acquisition and merger to expand market network, as well as to control operational costs through efficiency programs. The companies adopted the strategies amid the slow global economic growth. The British based cigarette producer British American Tobacco (BAT) sees to acquire the majority shares of the Reynolds American Inc. The 57.8% Reynolds stocks are worth for US$47 billion or equal with around IDR611 trillion. As reported by Reuters on Friday (2/10), the acquisition will lead BAT and Reynolds to be the largest cigarette companies in the world. Reynolds itself is the second largest cigarette company in the US after Philip Moris International. Last year, Reynold just spent US$25 billion to acquire its competitor in the US, namely Lorrilard Tobacco Company.