Jessica Miller | November 20, 2012
Cigarette maker PT Wismilak Inti Makmur declared that it will sell up to 30 per cent of the company’s enlarged shares during an initial public offering (IPO) next month to increase funds for business expansion. “Shares of Wismilak are to be priced between Rp 575 and Rp 800 apiece,” Iman Rahman, PT Mandiri Sekuritas director, reported in Jakarta on Monday, adding that the price-earnings (PE) ratio of the shares would reach between 10 and 14 by 2013. If the PE estimate holds true, the company might increase between Rp 362.2 billion (US$37.6 million) and Rp 503.9 billion from the sale of 629.96 million enlarged shares to the public. Wismilak has named PT Mandiri Sekuritas and PT OSK Nusadana Securities Indonesia as the underwriters of its IPO.
Jessica Miller | October 8, 2012
Most cotton farmers in Mashonaland Central province have switched to tobacco production because of the low costs offered for the crop on the tobacco market this season. The growers have started constructing curing barns and others have already established seedbeds. At the same time the tobacco farmers are afraid of losing their property to cotton companies after failing to settle their debts. Most farmers told The Herald that they could not pay back loans to companies that contracted them and have since been given an October 30 deadline to settle their debts before the firms come in to join their property.
Jessica Miller | September 17, 2012
Experts in south China’s Yunnan province, where a recent earthquake required at least 81 lives, now plan to sell 400,000 cartons of cigs in order to increase tax income to spend on quake relief, a Chinese daily argued. According to the state-run Global Times daily, China has become the world’s largest cigarettes manufacturer and tobacco consumer, with more than 300 million smokers. It is considered that deaths in China from smoking habit will exceed three million annually by 2050.
Jessica Miller | September 13, 2012
Philip Morris International Inc. PM -1.93% has increased its quarterly profits by 10 percents as the tobacco heavyweight looks to raise stockholder returns. The eight cent increase brings the tobacco company’s dividend a sum to 85 cents a share. The increase will cost Philip Morris $134.9 million more a quarter. The dividend carries a yield of 3.8 percent based on Tuesday’s closing cost. Dividend yields and strong cash flows drew investors to tobacco companies last year.
Jessica Miller | September 10, 2012
A case for implementing a prohibition on smoking products in Delhi is pending before the High Court, and the government has also noted that it is giving a very serious reasons to it. The smoking ban was proposed following a Central government ordinance. But looking at the facts that bans on tobacco smoking in public areas and use of polythene have not yielded results, this new ban also seems to be just a promise with the department of prevention of food adulteration being staffed by only 70 workers. Delhi government enforced the ban on smoking Pall Mall Cigarettes in public places on October 2, 2008. Statistics showed that after three-and-a-half years, 7.54 lakh areas were raided and 1.4 lakh people challaned. The government took new action against 6,200 tobacco vendors.