Byline: Laura King in Toronto
Canadian tobacco firm Rothmans Inc. is expanding into the U.S. market with the acquisition of privately held Santa Fe Natural Tobacco Co. of Santa Fe, N.M., for $275 million in cash and stock.
The deal, however, still hinges on the completion of due diligence by Rothmans and approval by regulators and Santa Fe shareholders. A majority of Santa Fe shareholders have agreed to support the deal, but the company has not given up the right to consider other offers.
The price, too, could change. The companies said late Thursday that Santa Fe shareholders can receive an additional $20 million if the company generates cumulative …