Benzinga | Jul 1, 2021 03:14PM EDT

Philip Morris To Buy Fertin Pharma For $820M

* Philip Morris International Inc (NYSE:PM) has agreed to acquire Fertin Pharma, a Denmark-based developer and manufacturer of pharmaceutical and well-being products.

* The enterprise value of the deal is about $820 million.

* The transaction value represents a multiple of around 15 times Fertin Pharma's 2020 EBITDA.

* Upon the completion of the acquisition, Fertin Pharma will become a wholly-owned subsidiary of Philip Morris.

* The transaction is expected to close in the fourth quarter of 2021.

* "The acquisition of Fertin Pharma will be a significant step forward on our journey toward delivering a smoke-free future--enhancing our smoke-free portfolio, notably in modern oral, and accelerating our progress in beyond nicotine," stated Jacek Olczak, Chief Executive Officer.

* Philip Morris's cash and equivalents totaled $3.9 billion.

* Price action: PM shares are trading higher by 1.04% at $100.14 on the last check Thursday.