British American Tobacco (BAT) will buy Colombia’s second largest cigarette company, Productora Tabacalera de Colombia (Protabaco), for USD 452 million (EUR 321.2 million).

“This investment will strengthen and complement our position in an important market and fill a strategic gap in our Americas region,” said Mark Cobben, BAT market director for the Americas.
Colombia is Latin America’s fourth largest cigarette market with a yearly slaes volume of 17 billion sticks. Protabaco sold 5.5 billion cigarettes in 2010.
The acquisition will elevate BAT from third to second place in the cigarette market in Colombia. Philip Morris remains the market leader with a market share of 49.5 per. (pi)