Altria Acquires Nat Sherman, Grows Its Smokeable Segment
RICHMOND, Va. — The tobacco industry is really heating up. Fresh on the heels of the Reynolds American Inc. and British American Tobacco merger, Altria Group Inc. revealed it is acquiring the parent company of Nat Sherman.
Terms of the deal between the Richmond-based tobacco leader and Sherman Group Holdings LLC were not disclosed. Upon completion, the move will join Nat Sherman's super-premium cigarettes and premium cigars with Philip Morris USA and John Middleton Co. as part of Altria's smokeable products segment.
"Nat Sherman has a terrific brand portfolio which complements Altria's existing smokeable product segment," said Marty Barrington, Altria's chairman, president and CEO. "Nat Sherman will benefit from the retail distribution, brand management, and adult tobacco consumer engagement expertise of Altria's companies."
Nat Sherman was founded in 1930 as a family-owned and operated business. Nat Sherman cigarettes are manufactured in Greensboro, N.C., and are currently in limited distribution throughout the United States. The company also operates a flagship store in New York.
"We are excited to have our family's business join the Altria family of companies," said Nat Sherman Executive Vice President Bill Sherman. "We believe Altria will be a great steward of the Sherman company and its brands."
Altria's wholly owned subsidiaries include Philip Morris USA Inc., U.S. Smokeless Tobacco Co. LLC, John Middleton Co., Nu Mark LLC, Ste. Michelle Wine Estates Ltd., and Philip Morris Capital Corporation. Altria holds an equity investment in Anheuser-Busch InBev.
The brand portfolios of Altria's tobacco operating companies include Marlboro, Black & Mild, Copenhagen, Skoal, MarkTen and Green Smoke.