The transition that sees Lorillard, the third-largest cigarette maker in the U.S. break away from conglomerate Loews Corporation, is to be completed today.

The tobacco assets of Loews – already called Lorillard – are currently represented by a tracking stock called Carolina Group (CG). As part of the separation, holders of Carolina Group stock will receive one share of Lorillard common stock on 10 June  for each Carolina Group share they own. Holders of Loews common stock who want to tap the exchange offer will receive 0.70 of a share of Lorillard common stock in exchange for each Loews share they choose to tender.
The newly independent Lorillard will start trading under the symbol LO on the NYSE on the morning of 10 June, assuming that the exchange offer is completed by midnight 9 June.
Analysts believe the shares could offer investors a good payout over time because the company is likely to return cash to holders and may draw attention as an acquisition target over the next year or two. (pi)