Philip Morris to get EU approval for Swedish Match before November 4

Philip Morris is planning to receive approval from European Union competition authorities to acquire Swedish Match for $16 billion on condition that the logistics unit of the company will be sold. 

Philip Morris announced the deal, which aims at expanding its presence in the fast-growing market for alternative tobacco products, back in May. Earlier this month, company officials announced the concession to the European Commission. The tobacco company wants to increase sales of smoke-free products so that they make up more than half of its revenue by 2025.

Stockholm-based Swedish Match controls about half the world's market for snus — a chewing smokeless tobacco product from Scandinavia. It is usually placed behind the upper lip. Swedish Match is also considered the leading manufacturer of snus. 

Last week, Philip Morris raised its Swedish Match offer. The main purpose was to attract the attention of shareholders that were waiting for a more lucrative deal.

Under Swedish law, the offer must be approved by 90% of Swedish Match's shareholders by Nov. 4.