21 February 2007
Orlik Tobacco Company is strengthening its international position on the pipe tobacco market through the acquisition of several well-known pipe tobacco brands from British American Tobacco. The brands are sold in 24 countries.
The acquisition price was EUR 24 million and includes brands such as Erinmore, Clan, Sail, Danske Club and Kentucky Bird.
The brands are primarily sold on markets where Orlik can strengthen its future position. The acquisition gives a significant boost to OTC’s internationalisation in countries like UK, Belgium, Netherlands, France, Spain, Canada, Malaysia and South Africa.
Two years ago Orlik entered a contract manufacturing agreement with BAT for some of the pipe tobacco brands, so part of the production has already moved to Denmark. The remaining production will be transferred from BAT/Niemeyer in the Netherlands during the spring of 2007, which will create four new jobs, primarily at Orlik's Holstebro factory.
The acquisition increases Orlik's pipe tobacco exports by 270 tons, and consolidates its position as the world's largest manufacturer of pipe tobacco.
Further information can be obtained from managing director Georg Gundersen, Orlik Tobacco Company, tel +45 64 71 10 32.
Orlik acquires pipe tobacco brands from BAT
Orlik Tobacco Company is strengthening its international position on the pipe tobacco market through the acquisition of several well-known pipe tobacco brands from British American Tobacco. The brands are sold in 24 countries.
The acquisition price was EUR 24 million and includes brands such as Erinmore, Clan, Sail, Danske Club and Kentucky Bird.
The brands are primarily sold on markets where Orlik can strengthen its future position. The acquisition gives a significant boost to OTC’s internationalisation in countries like UK, Belgium, Netherlands, France, Spain, Canada, Malaysia and South Africa.
Two years ago Orlik entered a contract manufacturing agreement with BAT for some of the pipe tobacco brands, so part of the production has already moved to Denmark. The remaining production will be transferred from BAT/Niemeyer in the Netherlands during the spring of 2007, which will create four new jobs, primarily at Orlik's Holstebro factory.
The acquisition increases Orlik's pipe tobacco exports by 270 tons, and consolidates its position as the world's largest manufacturer of pipe tobacco.
Further information can be obtained from managing director Georg Gundersen, Orlik Tobacco Company, tel +45 64 71 10 32.