* Holders of roughly 75% Vectura shares tender support
* PMI needed 50% backing for deal to go through
* Extends deadline for other holders to tender shares by
Sept. 30
(Adds comment from health group; background on deal)
By Pushkala Aripaka and Siddharth Cavale
Sept 16 (Reuters) - Cigarette maker Philip Morris (PMI)
clinched its 1.1 billion-pound takeover of asthma inhaler
maker Vectura on Thursday, winning the support of the
British company's shareholders despite the concerns of health
professionals.
Vectura's shareholders decided to take the 165
pence-per-share offer from PMI, with nearly 75% backing the
deal.
Buying the London-listed inhaler maker is part of Philip
Morris' long term plan to develop "smoke-free" products and
switch to being a "broader healthcare and wellness" company.
But it has angered health groups such as Asthma UK and the
British Lung Foundation that have questioned whether a tobacco
group should own a company that cures the very respiratory
illnesses cigarettes cause.
PMI Chief Executive Jacek Olczak has argued that acquiring
Vectura is a critical part of his strategy to move the company
"Beyond Nicotine".
He told the Telegraph last month that opponents of the deal
were "not interested in progress" and accused them of "settling
old scores" with the tobacco industry.
Olczak said on Thursday PMI would provide Vectura's
scientists with the resources and expertise to reach its goal of
generating at least $1 billion in net revenue from "Beyond
Nicotine" products by 2025.
In the meantime, Asthma UK and the British Lung Foundation
said they have sent a letter urging the government to look into
any conflict of interest issues.
The letter was co-signed by 35 charities, public health
experts and clinicians.
"There's now a very real risk that Vectura's deal with big
tobacco will lead to the cigarette industry wielding undue
influence on UK health policy," said Sarah Woolnough, Chief
Executive of Asthma UK and the British Lung Foundation.
"We call on the government to stand by its commitment to the
World Health Organization Framework Convention on Tobacco
Control to prevent this happening," Woolnough added.
PMI has received regulatory clearances for the deal and
following the public tender process, its offer cannot now be
withdrawn.
While the company received the 50% threshold to make its
offer unconditional, it has not yet reached the 75% of shares it
needs to delist Vectura.
PMI said it was extending its offer to Sept 30., to give
Vectura shareholders time to accept its proposal.
"Phillip Morris isn't ignoring the elephant; it's making us
all take a long hard look. Discomfort is good, it tends to
deliver change, but care must be taken that the promised change
does come and there are no detours on the journey," AJ Bell
financial analyst Danni Hewson said.
($1 = 0.7234 pounds)
(Reporting by Pushkala Aripaka and Siddharth Cavale in
Bengaluru;Editing by Elaine Hardcastle)
