M&A · Industrials · Cigarettes
JT Group to acquire Vector Group Ltd
Announced Aug 21, 2024 · Closed Oct 7, 2024
Deal value$2.36BEV $3.34B
Premium—To unaffected price
EV / Adj. EBITDA8.9x2.4x EV / Revenue
ConsiderationAll cash$15.00 per share
Transaction
- Acquirer
- JT Group
- Target
- Vector Group Ltd (VGR)
- Buyer type
- Strategic
- Offer price per share
- $15.00
- Enterprise value
- $3.34B
- Status
- Closed Oct 7, 2024
Deal protections
- Break fee (target pays)
- $82.7M · 3.5%
- Reverse fee (buyer pays)
- $177M · 7.5%
- Go-shop
- No-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- JPMorgan
- To the target
- Jefferies
Sector context · Industrials
- Comparable deals
- 84 in the prior 24 months
- Premium
- Sector median 34.0%
- EV / Adj. EBITDA
- 8.9x vs. 11.1x sector median
- Break fee
- 3.5% vs. 2.6% sector median
Timeline
- AnnouncedAug 21, 2024
- Tender offerSep 4, 2024
- ClosedOct 7, 2024
Valuation · fairness opinions
Trading comparables$12.75$18.85
Trading comparables$12.85$18.55
Discounted cash flow$10.90$16.10
Discounted cash flow$12.10$14.70
Premiums paid$14.15$17.95
Offer $15.00
Implied value per Vector Group Ltd share by analysis, from Jefferies.