Savvidis sells off tobacco firm SEKAP to JT

Japan Tobacco, the world's second biggest multinational in the sector, is the new owner of Greek tobacco company SEKAP, after the $1.6 billion deal Russian-Greek entrepreneur Ivan Savvidis reached with the 33 percent state-owned Japanese firm for the sale of Donskoy Tabak, which bought SEKAP in 2013.

The takeover agreement was announced on Friday afternoon and is not associated with last Sunday's incidents at the Greek soccer match between PAOK and AEK, during which Savvidis, PAOK's owner, stormed onto the pitch with a holstered gun. According to an announcement by Japan Tobacco, the negotiations for the deal lasted almost 13 months.

Donskoy Tabak controls 8 percent of the Russian tobacco market, while SEKAP has a 4 percent market share in Greece. Savvidis's divestment from the tobacco sector is attributed to the drop in cigarette sales internationally and his focus on...