Summary
Philip Morris International Inc. (PM) announced on July 10, 2009, its agreement to acquire 100% of the shares of Productora Tabacalera de Colombia, Protabaco Ltda., a privately owned Colombian cigarette manufacturer, for $452 million. This acquisition represents a strategic move to expand PM's market presence in Colombia, a significant Latin American market. The transaction is contingent upon approval from competition authorities and the completion of final confirmatory due diligence. The company anticipates the deal will be finalized within the next six months. This acquisition is expected to strengthen PM's position in the region and contribute to its global growth strategy.
Key Highlights
- 1PM to acquire 100% of Colombian cigarette manufacturer Protabaco Ltda.
- 2Acquisition price of $452 million.
- 3Transaction subject to competition authority approval and due diligence.
- 4Expected closing within the next six months.
- 5Strategic expansion into the Colombian market.
- 6Strengthens PM's presence in Latin America.