Michael Herklots and Brendon Scott have purchased various Nat Sherman International brands from Altria, according to a report by Halfwheel. Herklots and Scott are former employees of Nat Sherman International.
The brands will be sold by a new company, Ferio Tego.
Altria placed Nat Sherman International for sale in 2019 after announcing its departure from the premium cigar business. The brand was purchased by Altria in 2017.
The Covid-19 pandemic allegedly derailed an agreement to sell the entire division to an unnamed buyer, and Altria announced it would close Nat Sherman International.
Herklots and Scott did not bid on the entire Nat Sherman International portfolio because it would have been a conflict of interest; Herklots led the Nat Sherman brand after it was purchased by Altria, and he was helping to sell the brand when it was put up for sale.
“We closed the business (on) Nov. 15, and once it was closed, I couldn’t sleep thinking that there might be a chance to continue the legacy myself,” said Herklots. “I was heartbroken thinking that the brands I worked so hard to build would be left ‘on file.’ And so I asked for consideration to acquire the brands after we closed.”
“We are grateful to Altria for working with us to find a path forward for these brands,” said Scott. “I am extremely excited to work with Michael and our manufacturing partners to continue the legacy of these brands built by so many people over many decades. We are eager to bring our products back into the humidors of retailers and consumers.”
Herklots and Scott hope to have their new cigar line, Ferio Tego, on the market in spring. The two also purchased the rights to Nat Sherman pipe tobacco, but they have no current plans to place pipe tobacco on the market.