Philip Morris International (PMI), the tobacco giant behind Marlboro cigarettes, has agreed to sell its UK inhaler company, Vectura Group, for £150 million ($198 million). This sale comes just three years after PMI acquired Vectura for over £1 billion. The decision to offload Vectura follows significant backlash that PMI has termed «unwarranted.»
The backlash stemmed from criticism that PMI’s acquisition of Vectura—an inhaler manufacturer specializing in treatments for lung conditions like asthma—was hypocritical. Critics argued that a tobacco company, with its well-documented health risks, should not own a firm dedicated to respiratory health.
PMI had defended the purchase as part of its broader strategy to transition away from cigarettes and towards «smoke-free» products such as vaping. The company described the sale as a move to release Vectura from the «unreasonable burden» of external criticism and constraints linked to PMI’s ownership.
The deal with electronics firm Molex Asia Holdings, announced on Wednesday, is subject to regulatory approval. It includes an upfront payment of £150 million and potential deferred payments of up to £148 million, contingent on meeting certain conditions.
Jacek Olczak, CEO of PMI, emphasized that the company remains committed to driving innovation in the respiratory health sector. This suggests that PMI has not entirely exited the inhaler market despite the sale.
The Vectura acquisition was part of PMI’s broader push towards creating a «smoke-free world,» with a goal of generating two-thirds of its sales from non-cigarette products by 2030. Despite this commitment, health charities have expressed skepticism, citing PMI’s continued substantial revenue from cigarette sales. PMI’s financial results for the quarter ending June showed that over 60% of its $9.47 billion (£7.19 billion) in sales came from cigarettes. During this period, PMI captured 23.6% of the global cigarette market by revenue.
