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Philip Morris expects to record $220M loss associated with Vectura sale

According to a regulatory filing, on September 17, 2024 Philip Morris International Inc. announced the execution of a definitive agreement pursuant to which the Company’s direct, wholly-owned subsidiary, Vectura Fertin Pharma Inc., agreed to sell Vectura Group Ltd., its subsidiary, and Vectura’s subsidiaries to Molex Asia Holdings Ltd., for upfront cash consideration of GBP 150M, or approximately $198M, subject to customary purchase price adjustments, and up to GBP 148M, or approximately $195M, in deferred payments contingent on achievement of certain milestones over periods up to and through 2039. The transaction is expected to close by the end of 2024, subject to regulatory approval, which may impact the timing, and other customary closing conditions. In connection with the approval of the Sale by the Company’s Board of Directors on September 12, 2024, the Company expects to record an estimated loss of approximately $220M associated with the Sale during the third quarter of 2024, subject to working capital and other adjustments.

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