Activist Elliott Is Said to Build Stake in Swedish Match (1)

Elliott Investment Management is building a stake in Swedish Match AB, the smokeless tobacco company that’s agreed to be taken over in a $16 billion deal, people familiar with the matter said.

The US activist investor plans to oppose the transaction under its current terms, the people said, asking not to be identified discussing confidential information. Swedish Match agreed in May to be taken over by Philip Morris International Inc.

A representative for Elliott declined to comment. Representatives for Swedish Match and Philip Morris couldn’t immediately be reached for comment.

Shares in Swedish Match rose as much as 1.7% ...