British American Tobacco completes $1.05bn ITC share sale

Published 28/05/2025, 07:48
British American Tobacco completes $1.05bn ITC share sale

LONDON - British American Tobacco (NYSE:BTI) p.l.c. (BAT (LON:BATS)) has finalized the sale of a block of shares in ITC (NSE:ITC) Limited, amounting to approximately 2.5% of the Indian company’s issued share capital. The transaction, involving 313 million ordinary shares, was executed through an accelerated bookbuild process to institutional investors, yielding net proceeds of INR 121 billion (around £1.05 billion).

The sale, completed on Tuesday, is part of BAT’s strategy to enhance financial flexibility and deliver on its commitments, which include investing in transformation, reducing debt, and increasing shareholder returns. The proceeds from the sale will also enable BAT to expand its share buyback programme by an additional £200 million, raising the total repurchase amount for 2025 to £1.1 billion. This extension of the buyback scheme is set to commence following the completion of the current tranche and is expected to be concluded by December 31, 2025.

BAT, a global consumer goods company known for its tobacco products and smokeless nicotine offerings, employs over 48,000 individuals worldwide. In 2024, the company reported a revenue of £25.9 billion and an adjusted profit from operations of £11.9 billion. BAT’s portfolio includes a range of nicotine and smokeless tobacco products, such as Vuse, glo, and Velo. The company aims to have 50 million adult consumers for its smokeless products by 2030 and anticipates that these products will account for 50% of its revenue by 2035.

The company has also set environmental goals, aspiring to achieve net-zero emissions across its value chain by 2050. In recognition of its efforts, BAT received a Triple A rating from CDP in 2024 for its actions and transparency on climate change, water security, and forests.

The securities mentioned in this transaction have not been registered under the United States Securities Act of 1933 and are not offered or sold in the United States without registration or an exemption from registration requirements. This article is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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