Russia’s VTB Capital Acquires Bulgartabac Bulgaria

VTB Capital, the investment arm of the Russian Federation’s second largest lender, VTB Group, has completed the acquisition of Bulgarian cigarette maker Bulgartabac Holding with a EUR 100.1 mln (USD 136.8) investment that equated to a 79.83 percent stake in one of Europe’s leading cigarette manufacturing companies and Bulgaria’s market dominator. As part of the acquisition agreement, Bulgartabac will buy 25,000 tonnes of tobacco from local Bulgarian farmers spaced out equally over the next five years and invest at least USD 4.9 mln in business development over the next two years.