Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Philip Morris International to Buy Out Mexican Partner

"Smoke 'em if you got 'em," goes the old saying. And in Mexico, Philip Morris International (NYSE: PM  ) will soon have 'em -- lock, stock, and barrel.

On Monday, PMI announced plans to buy out the 20% stake in its Philip Morris Mexico subsidiary from local partner and Carlos Slim Helu holding Grupo Carso. The purchase price has not yet been set in stone, but the companies say they are circling a target price of perhaps $700 million. This price may be subject to adjustment based on the subsidiary's financial performance over the next five years.

Once closed in September, this transaction will give PMI 100% control over its Mexican subsidiary, with the effect that the company will "marginally" increase its profits in Q4 of this year.

In Mexico, PMI's Marlboro brand is the leading brand of cigarette sold, commanding 53.6% market share in 2012. Other brands owned by the company raise PMI's total share of the Mexican market to 73.5%.


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2445291, ~/Articles/ArticleHandler.aspx, 9/28/2016 7:59:17 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,339.24 110.94 0.61%
S&P 500 2,171.37 11.44 0.53%
NASD 5,318.55 12.84 0.24%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/28/2016 4:01 PM
PM $99.41 Up +0.08 +0.08%
Philip Morris Inte… CAPS Rating: ****