A PYMNTS Company

US: Reynolds, Lorillard move forward with cigarette deal

 |  December 15, 2014

Reynolds American and Lorillard have announced a deadline for their shareholders to vote on their proposed merger, a deal that would create the nation’s largest cigarette company.

According to reports, the companies’ shareholders must vote on the deal by January 28. Reynolds is looking to acquire Lorillard for $27.4 billion; experts say the takeover is mainly for Reynolds to acquire leading US menthol brand Newport.

The companies first announced their proposed merger last July.

While shareholder votes have been scheduled, Reynolds declined to comment on whether the development suggests the Federal Trade Commission’s own impending ruling on the transaction. The companies do, however, say they expect to close the merger by the end of next June.

Full content: My Fox 8

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.