JTI Acquires La Tabacalera Stake from Spanish Company

Japan Tobacco International (JTI) has acquired a 50 percent stake of La Tabacalera from Consorcio Cita Caribe de España, a Spanish company. The Dominican government will retail control of its 50 percent stake.

La Tabacalera was founded in 1902 as La Habanera before changing its name to Compañía Anónima Tabacalera. It eventually would up in the hands of Dominican dictator Rafael Leonidas Trujillo, but was reacquired by the state after his reign ended. In 1997 the process of making at least part of the company private began and three years later, the Dominican government and a Spanish company relaunched the company as La Tabacalera.

While it’s best known for producing cigarettes, La Tabacalera’s cigar brands include La Habanera and Vega Real. In addition, the factory has made cigars for others over the years.

JTI is one of the three largest tobacco companies in the world, generating over $21 billion in revenue in 2014. It owns the rights to many R.J. Reynolds brands outside of the U.S. such as Camel, Salem and Winston, as well American Spirit.

The reported sale price was $14 million.

La Tabacalera is based in Villa González, located outside Santiago. It has 186 employees.