The Jakarta Post
British American Tobacco Plc., Europe’s largest cigarette maker, has bought a majority stake in PT Bentoel Internasional Investama, the nation’s fourth-largest cigarette producer, to bolster its stake in the country’s highly lucrative cigarette market.
BAT bought the stake from various shareholders, including previous majority holder Rajawali Group, a local diversified-business giant, a media statement said Wednesday.
The producer of top brands such as Dunhill, Lucky Strike, Kent and Pall Mall, BAT said Wednesday it paid US$494 million for an 85 percent stake (Rp 873 per share) in Bentoel, which has a 7 percent share of the Indonesian cigarette market.
With BAT’s local unit, PT BAT Indonesia, claiming another 2 percent of market share, the acquisition will strengthen its presence in Indonesia, which, by volume, is the world’s fifth-largest market wi...