British American Tobacco plc BTI posted stronger-than-expected full year earnings and boosted its dividend as the group prepares to close its $50 billion takeover of Reynolds American RAI British American Tobacco plc posted stronger-than-expected full year earnings and boosted its dividend as the group prepares to close its $50 billion takeover of Reynolds American BAT said full year diluted earnings per share came in at 247.5 pence each, an 18.8% increase from 2015 and ahead of the FactSet consensus of 242 pence. Full year revenues, however, were marginally shy of analysts’ forecasts, coming in at A 14.751 billion against a A 14.88 billion estimate.
Category: British American Tobacco plc
What You Need to Know About the Reynolds American/British American Tobacco Merger
First off, the details. British American already owns about 42% of Reynolds’ business and the proposal that was initially made last October was for the remaining 58%.
BAT agrees to buy Reynolds for $49 billion
British American Tobacco has agreed a $49.4 billion takeover of U.S. rival Reynolds American Inc , creating the world’s biggest listed tobacco company after it increased an earlier offer by more than $2 billion. BAT, which already owned 42 percent of Reynolds, will pay $29.44 in cash and 0.5260 BAT shares for each Reynolds share, it said, a 26 percent premium over the price of the stock on Oct. 20, the day before BAT’s first offer was made public.
Tobacco Stocks: What to Watch in 2017
Tobacco stocks have been extremely successful investments for long-term shareholders, and as the calendar changes, investors are looking closely at what will affect tobacco stocks in 2017. Stalwarts like Altria Group from Altria gave U.S. investors another opportunity to jump into the international tobacco area as the company went up against British American Tobacco and other international competitors.