Convenience and tobacco retailer Smoker Friendly has made a strategic investment in Mexican premium cigar brand Casa 1910 AG, the companies announced in late July.
The deal gives Smoker Friendly an ownership stake in Casa 1910 and aims to support the cigar brand's expansion in the U.S. The companies said the partnership reflects growing interest in premium cigars made with Mexican tobacco.
Financial terms of the investment were not disclosed.
“We built Casa 1910 to bring something real to a category that has too often settled for imitation,” Jamie Baer and Serge Bollag, co-founders of Casa 1910 AG, said in the announcement. “Partnering with Smoker Friendly is a milestone we're incredibly proud to announce — and a reflection of the trust the Gallagher family has placed in this brand.”
Terry Gallagher, CEO and owner of Smoker Friendly and chairman of the Cigar Association of America, did not respond by press time when asked if this is the retailer's first such investment in another brand. Equity investments by convenience retailers in third-party brands they sell are relatively uncommon.
“Smoker Friendly is thrilled to make a strategic investment in Casa 1910 and excited to be a part of the vision Jamie and Serge have to grow the brand in the US and globally,” Smoker Friendly said in the announcement.
Casa 1910 sources all of the tobacco it uses in its hand-rolled cigars from Mexico's San Andrés Valley and distributes its products in 39 countries, the announcement noted.
