Juul Closes Is On Deal With One Of The World’s Largest Tobacco Companies
The possible deal with Altria comes as e-cigarette maker Juul faces increasing regulatory scrutiny. The union would give Juul access to Altria's marketing skills and its valuable shelf-space in convenience stores. Advocates said the partnership shows that Juul's focus is on profits and not public health.
The New York Times:
Juul May Get Billions In Deal With One Of World’s Largest Tobacco Companies
E-cigarette maker Juul, which has vowed to make cigarettes obsolete, is near to inking a deal to become business partners with Altria, one of the world’s largest tobacco companies. The union — which would create an alliance between one of public health’s greatest villains and the start-up that would upend it — entails cigarette giant Altria investing $12.8 billion for a 35 percent stake in Juul, at a $38 billion valuation, according to two people briefed on the negotiations. (Richtel and Kaplan, 12/19)
In other health industry news —
Modern Healthcare:
Cigna-Express Scripts Merger Slated To Close Thursday
The $67 billion deal between Cigna Corp. and Express Scripts is expected to close on Thursday after snagging approval from regulators in New Jersey—the last state needing to sign off on the merger. "All required regulatory approvals now have been received and the parties expect to close the transaction on December 20, 2018, subject to the satisfaction of all other closing conditions," Cigna noted in a filing Wednesday with the Securities and Exchange Commission. (Livingston, 12/19)
Bloomberg:
Glaxo Shares Soar After Consumer Health Venture With Pfizer
GlaxoSmithKline Plc paved the way for a split into two companies, agreeing to create a consumer-health joint venture with Pfizer Inc. to be listed on the stock market, sending the U.K. company’s shares to their biggest gains in a decade. Glaxo will have a 68 percent controlling stake in the new entity, with combined sales of $12.7 billion and led by Brian McNamara, the CEO of the U.K. pharmaceutical giant’s consumer arm. The deal lets Pfizer exit a business after a yearlong sale process failed to find a buyer. (Paton, 12/19)
