JT Group to Buy US Cigarette Maker Vector for $2.4 Billion (2)

JT Group agreed to buy discount cigarette maker Vector Group Ltd. for about $2.4 billion to expand in the US, changing tack after war closed off its path for growth in Russia.

The Japanese tobacco company plans to acquire all of Miami-based Vector for $15 a share, according to a statement Wednesday. The purchase price represents a 7.2% premium to Vector’s closing price on Tuesday in New York.

The deal will boost Japan Tobacco’s US market share to about 8% from 2.3% and give it ownership of two of the top 10 US cigarette brands, according to Eddy Pirard, ...