British American Tobacco said yesterday that it has agreed to buy a raft of cigarette brands from Bulgaria's Bulgartabac for more than 100 million euros ($106 million).

The acquisition of the Victory, Eva Slim and GD marques will lift BAT's local market share to 40 percent from the current 12 percent, BAT said.

The tobacco giant will also acquire distribution and retail assets in Bulgaria and within the wider Adriatic region.

Bulgaria's tobacco market is worth almost a billion euros annually and the Balkan country has one of the highest smoking rates in the European Union.

BAT regional chief Richard Widmann said the country has a "very bright future".

The deal is subject to regulatory approval.