The evening times., 1898-09-24
BIG Deal OF TOBACCO MEN
The American Company Alb
serbs the DrummOnd Plant.
FOUR FACTORIES TO BE SOLD
Ten Million Dollars Said to he In
yOlved in the Transactfon-One of
the Finest Cigarette Establfsh-
ments In the Country Included I'm
the Purchase.

st. Louis, Mo-, Sept. ALPHABETICALLY all
details of the negotiations for the pur-
chase of Drummond's big tobacco plant
in this city by the American Tobacco
Company have been closed, and all that
remains TO be done to complete the trans
action is the payment of the cash to Mr..
Drummond. This, it is said, will be done
within the next few days, and the Drum
mond factories will pass into the hands
Of the American Company.
According to the story told by stock
holder in the Drummond Company, the
American Company borrowed a large
amount of stock from shareholders in the
Drummond Tobacco Company, and when
this stock is re-issued in the form of
stock in the new company the purchas-
ers will be in a position to raise the
amount of cash required to buy out the
interest of the members of the Drum
mond family.
Upon the same authority, il can be
stated that a certain number OF the
stockholders of the Drummond Compa-
ny have agreed TO go into the American
Tobacco Company. All the details OF
this feature of the negotiations were clos
ed Wednesday, when the papers were
signed in the presence of President Duke
OF the American Company, and Harrison
l. Drummond, OF the Drummond Com
pany. The former felt so well satisfied
that the transaction would be completed
that he at once left for New York to re-
port 10 his associates in the American
Company.
The price TO be paid for the Drummond
plant is said TO be on basis of $40 0OJ OGO
All this money will not be paid in cash
a certain n1her of the "a -bab bnI nf
the Drummond Company having consent
ed to take stock in the new company
| This VIII cut down the amount of cash
| that has TO be raised The presumption
Is that the new stock will be issued as
| American Tobacco Company stock, al
! though the name to be adopted is a mat
ter OF detail, subject to change at any
| time in the discretion of the Interested
! parties.
The sale will include the four factories
! of the Drummond Company, and the
! business probably Will remain under
! practically the same management as at
! present. There may be some changes in
the personnel of the managers of the
| plant owing to the fact that President
| Harrison l. Drummond wants cash for
| his interest, and is said TO have been de-
! sirous of some time of retiring from the
active management of the business.
| 1t is understood. however, that the
transaction calls for the operation of the
! plant under the name of the Dr9mmond
| Tobacco Company, as a branch of the
American Tobacco Company. the same as
| the ]. q. Butler Tobacco Company,
which was sold to the American several
| years ago, and Is run as branch OF the
American. Some valuable real estate will
| be transferred by the Drummond Com
/ pany TO the purchasers. The cigarette
! factory at Tower Grove Station. which Is
one of the finest plants in the United
! States, will be included. The downtown
! factories at Fourth and Spruce Streets
are even more valuable. The real estate
is situated almost in the heart OF the
manufacturing district, and is improved
with as substantial buildings as any in
the city.