Altadis in talks with Philip Morris on bid for Imperial

0 Comments | AFP, March, 2007

MADRID (AFP) — The French-Spanish tobacco company Altadis has decided to open talks with Philip Morris, the world's leading cigarette maker, that could lead to a bid for Imperial Tobacco of Britain, a press report said here Friday.

Altadis declined to comment on the report, which appeared on the website of the newspaper elEconomista. The paper cited sources close to the matter.

Imperial Tobacco said Thursday it had made an informal takeover offer for Altadis worth about 11.5 billion euros (15.2 billion dollars).

elEconomista reported in late February that Philip Morris, which is controlled by the Altria group, had asked investment banks to determine if Altadis could help it acquire Imperial Tobacco, the world's fourth largest tobacco group.

Analysts...