Deals
Altria Turns to Europe’s High-Grade Bond Market to Fund Juul Deal
- Cigarette maker begins sale to replace short-term M&A debt
- Juul acquisition doubles Altria’s debt level, cuts ratings
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Marlboro cigarette maker Altria Group Inc. will raise at least 2 billion euros ($2.3 billion) in a four-part bond sale to help fund an acquisition that will give it a foothold in the burgeoning e-cigarette market.
The Richmond, Virginia-based parent of Philip Morris USA Inc. will price euro benchmark-sized notes due in 2023, 2025, 2027 and 2031, according to a person familiar with the matter, who asked not to be identified because they’re not authorized to speak about it. It’s marketing the shortest tranche at about 130 basis points above midswaps.