British American Tobacco has offered to buy Reynolds American Inc. in a $47 billion cash-and-stock deal.

The London-based company offered Friday to buy the 57.8 percent of Reynolds it doesn't already own for the equivalent of $56.50 per share. Reynolds shareholders would receive $24.13 in cash and 0.5502 of a BAT share for each Reynolds share.

BAT says the deal values the Winston Salem, North Carolina-based company, at $93 billion and that the offer price represents a 20 percent premium over Reynolds' closing price Thursday.

BAT Chief Executive, Nicandro Durante, says the merger "is the logical progression in our relationship and offers all shareholders a stake in a stronger, truly global tobacco and Next Generation Products company."

The deal brings together brands such as BAT's Lucky Strike and Reynolds' Camel.