In a strategic move following years of scrutiny from health groups, cigarette giant Philip Morris International has reached an agreement to sell off its asthma inhaler business. The business, acquired through the purchase of British pharmaceutical firm Vectura in a deal valued at $1.2 billion in 2021, will now be sold to Molex Asia Holdings Ltd. for an upfront cash payment of 150 million pounds sterling. This decision comes in the wake of concerns raised by health organizations regarding the tobacco company's ownership of a company that primarily profits from products aimed at treating smoking-related respiratory illnesses.

The sale of Vectura to Molex Asia Holdings Ltd. includes plans for the inhaler business to operate under Molex's Phillips Medisize unit, which specializes in producing drugs and medical devices. The deal, set to close by the end of 2024 pending regulatory approvals, also entails potential deferred payments of a second significant amount. The transaction marks a notable shift for Philip Morris, which had faced skepticism and opposition from health groups over its transition from a prominent tobacco manufacturer to a more diversified health-focused entity.

Critics of Philip Morris' acquisition of Vectura had pointed out the conflicting interests inherent in a tobacco company profiting from the treatment of smoking-related illnesses. An official report from the U.K.'s National Health Service revealed that since the acquisition, over £433 million had been spent on inhalers connected to the tobacco industry. Organizations such as Asthma + Lung UK had condemned the takeover, emphasizing the need to prevent tobacco companies from benefitting financially from the diseases they contribute to. Additionally, skepticism remains high among advocacy groups such as Corporate Accountability, which vow to remain vigilant against any attempts by Philip Morris to cleanse its public image.