The potential change comes as the Swedish Match (OTCPK:SWMAF) deal has faced opposition from shareholders, including activist holder Elliott Investment Management. Elliott disclosed last week it has accumulated a 5.25% in the smokeless tobacco company after Bloomberg first reported in early July that Elliott had taken a stake and was against the deal under its original terms.
The maker of Marlboro brand cigarettes’ bid is currently conditioned on getting more than a 90% stake in Swedish Match. Philip Morris hasn’t made a final decision on possible alterations to its offer and may need to increase it bids if it continues to face holder opposition, according to the report.
A Jefferies analyst said in May that Philip Morris’ (PM) bid for Swedish Match (OTCPK:SWMAY) faces significant risks from retail investors. He added that the 90% tender threshold could prove a high bar to clear.
Image and article originally from seekingalpha.com. Read the original article here.