Summary
Altria Group, Inc. (MO) announced on November 13, 2007, that it has entered into an agreement to sell its corporate headquarters building located at 120 Park Avenue in New York City. The sale is expected to close by April 1, 2008, with the purchaser being a subsidiary of Global Holdings, Inc. This strategic divestiture is anticipated to generate a pre-tax gain of approximately $440 million for Altria upon closing. The transaction is significant as it frees up capital and potentially streamlines operations by selling a major corporate asset. Investors should monitor the closing of this sale and the subsequent deployment of the proceeds.
Key Highlights
- 1Agreement to sell 120 Park Avenue headquarters for approximately $525 million.
- 2Sale is expected to close by April 1, 2008.
- 3Purchaser is a subsidiary of Global Holdings, Inc., affiliated with Eyal Ofer family interests.
- 4Altria expects to record a pre-tax gain of approximately $440 million from the sale.
- 5This divestiture represents a significant asset sale for the company.
Frequently Asked Questions
Altria Group, Inc. has signed an agreement to sell its headquarters building at 120 Park Avenue in New York City for approximately $525 million.
Altria anticipates recognizing a pre-tax gain of approximately $440 million upon the successful closing of the transaction.
The sale is planned to close no later than April 1, 2008.
The buyer is a subsidiary of Global Holdings, Inc., a U.S.-based real estate investment company associated with Eyal Ofer family interests.