British American Tobacco announced on Friday, June 29, plans to invest between $150 and $200 million (176-235 million euros) over the next ten years establishing a presence in Turkey, the seventh largest tobacco market in the world.
BAT said it had struck deals with two Turkish partners, Duzey Pazarlama and Sunel Tobacco, to take its brands of cigarettes, which include Lucky Strike and Benson and Hedges, to the Turkish market.
Sunel Tobacco, part of the Gurel group, and Duzey Pazarlama, a member of the Koc group, will become minority shareholders in the joint manufacturing company, to be called British American Tobacco Sigara ve Tutunculuk Sanayi ve Ticaret A.S.
The partnership plans to establish a factory in Tire, in the Izmir district. BAT said it had also signed an agreement with Duzey to establish a Turkish distribution network for its products.
"We are very pleased to reach agreement on entering into partnership with such important Turkish companies and look forward to a long and successful relationship," said Paul Helderman, Managing Director for British American Tobacco Turkey.
"We believe in the future of Turkey, and are confident that we can achieve our business objectives." — (AFP)
© Agence France Presse
© 2001 Mena Report (www.menareport.com)