Japan Tobacco (JT) agreed to purchase the tobacco business of Mighty Corporation for PHP 46.8 billion (EUR 772 million) to further its strategy of regional expansion, the company said.

Mighty is the second largest tobacco company in the Philippines with a 23 per cent market share, but has faced multiple investigations for tax evasion said to involve amounts Mighty Corp was unable to pay. The deal is comprised of PHP 28 billion for company assets, including its distribution network, and PHP 18.8 billion to acquire intellectual property that JT said would mainly be paid to Mighty Corp and Wong Chu King holdings.
Earlier in August, JT announced a deal valued at USD 677 million for the acquisition of Indonesian kretek maker PT Karyadibya Mahardhika and its distributor.