Earlier in March this year, Japan Tobacco Inc. (JTI) declared that the JT Group has finalized the buying of Al Nakhla Tobacco Company S.A.E. and Al Nakhla Tobacco Company
The buying was declared in the Company’s November 16, 2012 declaration, “JT to buy a leading hookah tobacco company.”
Nakhla is one of the major producers of hookah tobacco around the world with an important presence in its local market. It has headquarters and is the owner of two factories in Cairo and Shebin El Kom, Egypt.
This tobacco company makes hookah tobacco export supplies to more than 80 countries, mainly in the Middle Eastand North Africa where such hookah has a deep rooted history. Nakhla’s overall sales volume was around 24,000 tons in 2011.
The decsion to buy Nakhla was at a high single digit multiple of Nakhla’s actual revenue before interest, tax, depreciation and amortization in 2011, as primarily declared. The buying is supposed to have a minor impact on the Group’s consolidated performance, income and balance sheet.
In the worldwide tobacco business, the Group continues improving Japan Tobacco International’s (JTI) business foundations with a total plan to increase growth.