Tobacco company Philip Morris International has agreed to acquire Swedish Match, a maker of smokeless tobacco, for an undisclosed sum of money

One of the world's largest tobacco companies has made an offer of $10.56 per share, according to the company's statement. Wednesday's closing price for Swedish Match is up over 40% from Monday's closing price. The board of directors in Stockholm urged the company's stockholders to consider the offer.

The maker of Marlboro cigarettes reportedly made an offer of 106 kronor per share, or $10.56 per share, according to a statement provided by the firm. Swedish Match's closing price on Monday was over 40% higher than it was on Wednesday. A recommendation from the company's board of directors in Stockholm was made to shareholders.

As one of the largest transatlantic deals of the year, Philip Morris is now entering the highly modest field of oral nicotine products with this contract with Swedish Match, whose vision statement happens to be "a world without cigarettes." The chewing tobacco of today is very diverse from that of the past. While the company is considering its options after Russia's invasion of Ukraine, it has access to a rapidly developing market for smoking alternatives in the United States.

Increasingly strict government rules have forced the business to diversify its product offering beyond cigarettes, and the tobacco industry giant has been at the forefront of this endeavour. Smoke-free items accounted for almost 30% of the company's net sales in 2016, up from 0% the year before thanks to new products and acquisitions.

Last year, Philip Morris negotiated a deal with Vectura Group, a developer of asthma drugs, to buy that firm. Iqos Philipine was created by Philip Morris. It also bought Fertin Pharma, a firm that makes a smoking-cessation aid, and OtiTopic, a respiratory drug developer that is now undertaking late-stage research on an inhaled aspirin treatment for heart attacks.

More than half of Philip Morris' net revenues will come from smoke-free products by the year 2025.