Believe probable standalone long-term returns far outweigh offer price

Full details of The Framtiden Partnerships' position available at www.oursmokefreefuture.com

CHICAGO, Sept. 21, 2022 /PRNewswire/ -- Framtiden Management Company LLC, together with its affiliates ("Framtiden" or "The Framtiden Partnerships"), today announced its opposition to the proposed takeover of Swedish Match AB (STO: SWMA) ("Swedish Match" or the "Company") by Philip Morris International, Inc. (NYSE:PM) ("Philip Morris").

As a long-term Swedish Match shareholder since 2003, Framtiden believes that the acquisition offer of SEK 106 per share deeply undervalues the Company. Specifically, the offer:

Does not adequately value Swedish Match's leading position in the rapidly growing non-tobacco nicotine pouch segment in the U.S. with their ZYN product, and the latent and massive market potential in both the U.S. and other countries;
Underappreciates the uniqueness of a fast-growing established global consumer staples business;
Forces the realization of capital gains that would otherwise be deferred for long-term investors who want to participate in the Company's continued growth; and
Is significantly below Swedish Match's intrinsic value per share, which Framtiden estimates at close to SEK 200 per share.

Accordingly, Framtiden informed the Board that it would not support the proposed transaction. The Framtiden Partnerships own over 14.5 million shares representing about 1% of outstanding shares.

Dan Juran, Managing Member of The Framtiden Partnerships, said, "My partner Chris Anderson and I believe that this deal does not make sense for long-term shareholders. I have closely followed Swedish Match's development for nearly two decades, built relationships with its managers, and currently serve as the Chairman of the Company's Nominating Committee. I was dismayed to see the Board recommend the sale of this Swedish jewel at a bargain price in the early stage of probably the greatest chapter in its long history."

Juran continued, "Investors may be tempted by the short-term premium, especially during a period of market declines, but I believe that Swedish Match in 2022 may be in the rarified air of Coca-Cola in the 1980's or Philip Morris itself in the 1950's. Those companies compounded earnings at a superior rate for many years, and shareholders who stuck with them were rewarded mightily. We believe sticking with Swedish Match is likely to prove far more remunerative to shareholders over time than cashing out. We hope other shareholders see the merits of our position, further detailed in our white paper."

Full text of Framtiden's white paper on Swedish Match and Philip Morris' tender offer can be found at:

www.oursmokefreefuture.com

Contact

info@framtidenholdings.com

IMPORTANT INFORMATION

This press release has been prepared by The Framtiden Partnerships in their capacity as shareholders in Swedish Match and shall not be regarded as investment advice. Framtiden Management Company LLC ("FMC") is a relying adviser under Rings Capital Management LLC ("Rings"). Rings is the investment adviser to Framtiden LP and First Framtiden LP; FMC is the investment adviser to Framtiden Holdings LP. The purpose of this press release is solely to provide information to Swedish Match shareholders regarding Framtiden's view on the current public takeover offer for all shares in Swedish Match by Philip Morris, which shall be evaluated independently by Swedish Match shareholders. Framtiden has no intentions to directly or indirectly, alone or together with someone else, exert any kind of control over Swedish Match or its operations.

The information contained in this press release has not been independently verified and is subject to change without notice. Neither Framtiden, nor its representatives and affiliates or any other party, is under any obligation to update or keep current the information contained herein. Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of Framtiden or any other party (or any of their respective members, directors, officers, employees or any other person) as to the accuracy, completeness or fairness of the information or opinions contained in this press release, and any reliance you place on such information or opinions will be at your sole risk. Neither Framtiden nor any other party (or any of their respective members, directors, officers, employees or any other person) accepts any liability whatsoever for any loss howsoever arising from any use of this press release or its contents or otherwise arising directly or indirectly in connection therewith. By reading the press release, you acknowledge that you will be solely responsible for your own assessment of the market and market position of Swedish Match and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of Swedish Match and its business.

This press release contains forward-looking information based on the current expectations of Framtiden. Although Framtiden deems that the expectations presented by such forward-looking information are reasonable, no guarantee can be given that these expectations will prove correct. Accordingly, the actual future outcome could vary considerably compared to that stated in the forward-looking information, due to such factors as changed market conditions for Swedish Match's products and more general factors such as business cycles, markets and competition, unforeseen commercial or operational implications attributable to Covid-19, changes in legal requirements or other political measures, and fluctuations in exchange rates. Framtiden undertakes no obligation to update such forward-looking statements. This press release contains market data and industry forecasts, including information related to the sizes of the markets in which Swedish Match and its subsidiaries participates. The information has been extracted from a number of sources. Unless a specific is source is referenced, all market share information/data is based on Framtiden's estimates. Although Framtiden regards these sources as reliable, the information contained in them has not been independently verified and therefore no assurance can be given that this information is accurate and complete. In addition to the above, certain data in the press release is also derived from estimates made by Framtiden. The information and opinions contained in this press release are provided as at the date of this press release and are subject to change without notice.

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SOURCE Framtiden Management Company LLC