Deals
Japan Tobacco Plunges on $5 Billion Reynolds Asset Deal
- JT to buy Reynolds Natural American Spirit rights outside U.S.
- Deal valued at 286 times 2014 profit before income taxes
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Japan Tobacco Inc. fell to the lowest in six months after agreeing to pay about $5 billion for the international rights to Reynolds American Inc.’s Natural American Spirit division.
The shares dropped 6.7 percent to 3,695 yen by the close of trading in Tokyo, to the lowest level since March 20. The benchmark Topix rose 2.6 percent.