U.S cigarette makers Reynolds American Inc and Lorillard Inc are in talks on a possible multi-billion dollar disposal to Britain's Imperial Tobacco Group Plc, as part of efforts to ease antitrust concerns over their planned merger.Confirming what people familiar with the matter previously told Reuters, Imperial, known for the Gauloises and Davidoff brands, said it was in talks on a possible acquisition from the two U.S.-based companies that would expand its presence in what remains one of the world's largest and most profitable cigarette markets.A source familiar with the matter said Imperial was lining up about $7 billion to finance the potential purchase.However the British group said in a statement on Friday it would proceed with an acquisition only if its terms met strict criteria and noted there could be no certainty on whether a transaction would take place, or if it did, what terms it would be based on.
Lorillard, Inc. (Lorillard) is the manufacturer of cigarettes in the United States. Shares of LO traded higher by 0.13% or $0.08/share to $63.09. In the past year, the shares have traded as low as $41.56 and as high as $65.39. On average, 3030530 shares of LO exchange hands on a given day and today's volume is recorded at 3961186.
Reynolds American Inc. (RAI) is a holding company. Shares of RAI fell by 0.65% or $-0.41/share to $62.26. In the past year, the shares have traded as low as $46.55 and as high as $63.39. On average, 2230330 shares of RAI exchange hands on a given day and today's volume is recorded at 2224327.
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