Tobacco enterprise Imperial Brands has announced the sale of its worldwide premium cigar business to investment consortia of individual investors for €1,225 million.
This deal will include the sale of hand-rolled Cuban cigars brands Cohiba and Montecristo, as well as 50% stake Cuba’s official exporter Habanos.
According to sources, this disposal reinforces the company’s focus on simplifying its business, allowing the company to pay its debt.
Joint Interim Chief Executives Dominic Brisby and Joerg Biebernick said: “This disposal reinforces our strategic ambition of becoming a leaner and more agile organisation and the proceeds will realise value for shareholders by reducing debt as part of our ongoing focus on active capital management”.
“We believe we have found the right long-term owners for Premium Cigars; they are committed to investing in the business to maximise future growth opportunities and are well positioned to further develop operations internationally”, added.
Sources: Imperial Brands