British American Tobacco Acquires Dryft Modern Oral Business

(RTTNews) - British American Tobacco p.l.c. (BATS.L, BTI), on Tuesday, announced that its US business has acquired the nicotine pouch product assets of Dryft Sciences LLC, a US-based Modern Oral nicotine product company.

The company noted that this acquisition expands its Modern Oral portfolio in the US, expanding from 4 to 28 product variants. The products would be sold under BAT's global Modern Oral nicotine brand, VELO, creating further brand synergies.

The expanded US VELO portfolio would now include three nicotine strengths (2mg, 4mg and 7mg) in 8 new flavours: Wintergreen; Spearmint; Cinnamon; Dragon Fruit; Citrus Burst; Black Cherry; Peppermint; and Coffee. These variants complement the existing US VELO portfolio, the company said.

The deal follows the acceptance of Dryft's recent Pre-Market Tobacco Product Application or PMTA submission for filing by the US Food and Drug Administration.

The acquisition has been made through Modoral Brands Inc., an indirect, wholly owned subsidiary of BAT's US subsidiary, Reynolds American Inc.