Gareth Davis, chief executive of Imperial Tobacco, is reported to be seeking talks with its Franco-Spanish rival, Altadis, which rejected an offer of € 11.5 billion (US$ 15.3 billion) last week.

According to Reuters, Davis stated at an analyst meeting that he saw the whole of the Gauloises and Fortuna cigarette maker as attractive – cigarettes, cigars and logistics. Imperial made its € 45 a share cash bid for Altadis last Wednesday but by Friday, 16 March, the Madrid-based group had rejected that approach, saying the unsolicited offer was too low.
Imperial's bid values Altadis at € 14.3 billion, including € 2.8 billion of debt.