IMPERIAL Tobacco led the FTSE 100 risers yesterday following the announcement that it is considering an initial public offering (IPO) for its European logistics division.
Madrid-based Logista distributes Imperial’s cigarettes in countries including France, Spain and Italy but also has non-tobacco customers. Last year it recorded revenue of £8.3bn and an adjusted operating profit of £176m.
“Imperial Tobacco confirms it is reviewing its options in relation to a potential IPO of Logista. There is no certainty as to the outcome of that review,” Imperial Tobacco said in a statement.
The maker of Davidoff and Gauloises cigarettes also reported underlying revenue growth of one per cent for the first quarter to £1.56bn, although this was down six per cent on a reported basis, with momentum from the Middle East and Asia. Imperial’s shares closed up 5.66 per cent at 2,351p.