Latest news with #Marroco
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Business Standard
03-06-2025
- Business
- Business Standard
ITC stake strategic investment, not financial: BAT chief executive Marroco
Marroco also confirmed that BAT would keep its two directors on the ITC board so that it has an influence Ishita Ayan Dutt Kolkata British American Tobacco plc (BAT) still considers its holding in ITC a 'strategic investment,' Chief Executive Tadeu Marroco said on Tuesday, days after the UK-based tobacco giant trimmed its stake in the cigarettes-to-soap conglomerate. On May 28, BAT sold 2.5 per cent in ITC with net proceeds amounting to ₹12,941 crore. The sale reduced BAT's holding in ITC to 22.93 per cent. Responding to a question on how the ITC stake should be viewed during a post-results conference, Marroco said, 'The ITC stake is still for us a strategic investment. It's not a financial investment.' Expanding on the rationale, Marroco
North Wales Chronicle
03-06-2025
- Business
- North Wales Chronicle
Demand for oral nicotine pouches growing fast, British American Tobacco says
The Velo brand is growing the fastest within its so-called 'new category', which includes non-tobacco products like vapes, the business said. The pouches come in a variety of flavours and strengths and are designed to be placed between the gum and lip so nicotine can be absorbed through the mouth. Tadeu Marroco, BAT's chief executive, said he was 'excited' by the launch of loyalty scheme Velo Plus in the US. 'Globally, Velo continues to gain volume share in this fast-growing category, driven by the US and our continued leadership position in AME (Americas & Europe),' he said, highlighting a strong performance in the UK, Scandinavia and Poland. BAT said it was expecting full-year revenues to grow between 1% and 2% following a stronger-than-expected half-year performance. It had previously forecast growth of 1%. The company continues to make the bulk of its sales from traditional cigarettes, which include the Pall Mall and Camel brands. It said the segment remained 'under pressure' with the volume of sales about 9% lower across the industry over the year to date, but that it was gaining market share for brands including Lucky Strike. Mr Marroco said BAT's vape sales were being affected by 'illicit' products in the US and Canada, which were driving down sales of legal devices. BAT has previously warned that customers turning to illegal disposable vapes was hurting sales of its own vape product, Vuse, and urged a government crackdown on the market.
Leader Live
03-06-2025
- Business
- Leader Live
Demand for oral nicotine pouches growing fast, British American Tobacco says
The Velo brand is growing the fastest within its so-called 'new category', which includes non-tobacco products like vapes, the business said. The pouches come in a variety of flavours and strengths and are designed to be placed between the gum and lip so nicotine can be absorbed through the mouth. Tadeu Marroco, BAT's chief executive, said he was 'excited' by the launch of loyalty scheme Velo Plus in the US. 'Globally, Velo continues to gain volume share in this fast-growing category, driven by the US and our continued leadership position in AME (Americas & Europe),' he said, highlighting a strong performance in the UK, Scandinavia and Poland. BAT said it was expecting full-year revenues to grow between 1% and 2% following a stronger-than-expected half-year performance. It had previously forecast growth of 1%. The company continues to make the bulk of its sales from traditional cigarettes, which include the Pall Mall and Camel brands. It said the segment remained 'under pressure' with the volume of sales about 9% lower across the industry over the year to date, but that it was gaining market share for brands including Lucky Strike. Mr Marroco said BAT's vape sales were being affected by 'illicit' products in the US and Canada, which were driving down sales of legal devices. BAT has previously warned that customers turning to illegal disposable vapes was hurting sales of its own vape product, Vuse, and urged a government crackdown on the market.
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Business Standard
03-06-2025
- Business
- Business Standard
ITC stake strategic, not financial: BAT chief executive Tadeu Marroco
British American Tobacco plc (BAT) still considers its holding in ITC a 'strategic investment,' chief executive Tadeu Marroco said on Tuesday, just days after the UK-based tobacco giant trimmed its stake in the cigarettes-to-soap conglomerate. On May 28, BAT sold 2.5 per cent in ITC, with net proceeds amounting to Rs 12,941 crore. The sale reduced BAT's holding in ITC to 22.93 per cent. Responding to a question on how the ITC stake should be viewed during a post-results conference, Marroco said, 'The ITC stake is still for us a strategic investment. It's not a financial investment.' Expanding on the rationale, Marroco pointed to the size of the Indian market, the demographics, the potential GDP per capita growth, and highlighted that ITC is a very well-oiled and run company with leadership in distribution and cigarettes. 'We have a multi-layer relationship with ITC coming back for many years. As you know, we have some inter-party relations with them in leaf, in IT, and we have expectations that new category can be a big factor in the India market in the future. And we want to preserve, as a consequence, a relevant stake in ITC,' the BAT chief executive said. Marroco also confirmed that BAT would keep its two directors on the ITC board so that it has an influence. The partial monetisation of the ITC stake is to enable increased financial flexibility. 'This is basically a decision to allow us to have financial flexibility to beef up the buyback a bit more and at the same time ensure that we get to the leverage corridor that we are aiming for between 2–2.5x by the end of next year,' Marroco said during the call. This is the second instance in two years that BAT has sold a partial stake in ITC. In March 2024, BAT had sold 3.5 per cent to initiate its buyback programme. The sale brought its stake down to 25.44 per cent and generated net proceeds of £1.6 billion. The latest round has brought it down further to 22.93 per cent. A 25 per cent holding allows shareholders to influence or oppose resolutions, especially special resolutions that require 75 per cent of the votes cast to be in their favour. In 2023, Marroco had outlined the importance of having 'at least 25 per cent of shareholding in India' and said that it would enable BAT to keep board seats, veto resolutions of the company, and steer it to certain opportunities.
Powys County Times
03-06-2025
- Business
- Powys County Times
Demand for oral nicotine pouches growing fast, British American Tobacco says
Rising global demand for oral nicotine pouches are helping boost sales for cigarette maker British American Tobacco (BAT), which has nudged up its full-year forecast. The Velo brand is growing the fastest within its so-called 'new category', which includes non-tobacco products like vapes, the business said. The pouches come in a variety of flavours and strengths and are designed to be placed between the gum and lip so nicotine can be absorbed through the mouth. Tadeu Marroco, BAT's chief executive, said he was 'excited' by the launch of loyalty scheme Velo Plus in the US. 'Globally, Velo continues to gain volume share in this fast-growing category, driven by the US and our continued leadership position in AME (Americas & Europe),' he said, highlighting a strong performance in the UK, Scandinavia and Poland. BAT said it was expecting full-year revenues to grow between 1% and 2% following a stronger-than-expected half-year performance. It had previously forecast growth of 1%. The company continues to make the bulk of its sales from traditional cigarettes, which include the Pall Mall and Camel brands. It said the segment remained 'under pressure' with the volume of sales about 9% lower across the industry over the year to date, but that it was gaining market share for brands including Lucky Strike. Mr Marroco said BAT's vape sales were being affected by 'illicit' products in the US and Canada, which were driving down sales of legal devices. BAT has previously warned that customers turning to illegal disposable vapes was hurting sales of its own vape product, Vuse, and urged a government crackdown on the market.
