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Imperial Tobacco: Sometimes a Cigar Is Just a Reason for Regime Change 

Imperial Tobacco's $15 billion takeover of Altadis already has looked pretty smart. Will it be even smarter now that Fidel Castro has resigned as the leader of Cuba?

If you had asked Altadis a year ago, the answer probably would have been yes. Altadis has the world's biggest share of cigar sales and owns a 50% stake in Cuba's state-owned Habanos SA, which makes Cohiba cigars. But Altadis can't sell those prized cigars in the U.S. because of the country's trade limits on Cuba. If Castro's successor--most likely his brother--is more favorable to U.S. officials, Altadis could be sitting on a gold mine. It already has 25% share of the cigar market, or about twice as much as its closest competitor.

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