Morrison & Foerster is advising JT Group on its acquisition of the tobacco business of Akij Group (“Akij”) for a total of BDT 124.3 billion (approximately USD 1.476 billion). The transaction is expected to be completed in the third quarter of the fiscal year 2018 following regulatory clearance.
Akij is the second largest tobacco company, with a 20% market share, in Bangladesh, the eighth largest tobacco market in the world, with volumes exceeding 86 billion units and growing by about 2% year-on-year. Akij currently holds the number two position in both the value and base segments, which together accounts for up to 90% of Bangladesh’s cigarette market, with brands such as "Navy" and "Sheikh".
The MoFo team advising JT Group is being led by Singapore corporate partners Jake Robson and Shirin Tang, senior associate Nick Davies, and associates Champ Charernthamanont and Pamela Usukumah. Other key team members include Hong Kong Technology and IP partner Gordon Milner, Asia head of Disputes Craig Celniker, and London Tax partner Trevor James. They are also supported by Hong Kong corporate associate Alex Cao and London trainee William Akman. The Morrison & Foerster team was supported by Dr. Kamal Hossain and Associates and DFDL Bangladesh in respect of Bangladesh law matters and Rouf & Associates is advising Akij.
For more information, see JT Group's press release.