RAI evaluating acquisition offer

The board of directors of Reynolds American Inc. has formed the Transaction Committee comprising independent directors not designated by British American Tobacco to evaluate the October 20 non-binding proposal from BAT to acquire the shares of RAI common stock that BAT does not currently own.

‘The Transaction Committee has retained Weil, Gotshal & Manges LLP and Moore & Van Allen PLLC as legal counsel, and Goldman, Sachs & Co. as financial advisor to assist the Transaction Committee in its evaluation of BAT’s proposal,’ RAI said in a note posted on its website.

‘In addition, RAI has retained Jones Day as legal counsel and J.P. Morgan Securities LLC and Lazard as financial advisors.’

In light of the evaluation of BAT’s proposal, RAI has cancelled its investor day scheduled for November 14.