Scandinavian Tobacco Group completed the sale of its Break and Moro fine-cut tobacco brands to Japan Tobacco for DKK 1.3 billion, or DKK 1 billion after tax. The transaction, effective Oct. 1, includes the transfer of certain inventories to Japan Tobacco, with proceeds from the inventory sale to be included in the group’s free cash flow before acquisitions and divestments.
Scandinavian Tobacco Group raised its 2026 free cash flow guidance to DKK 1.2 billion-1.4 billion from DKK 950 million-1.2 billion. The company said the divestment will be dilutive to earnings but maintained its 2026 guidance for reported net sales growth at constant currencies, EBIT margin before special items, and adjusted earnings per share.
