Scandinavian Tobacco Group (STG) will acquire the premium pipe tobacco brand portfolio of Peterson Pipe Tobacco from Kapp & Peterson, an Irish pipe and pipe tobacco manufacturer. The terms of the transaction were not disclosed.
With a heritage of more than 150 years, Peterson Pipe is sold in 52 countries. Within the Peterson brand portfolio are signature blends such as Sherlock Holmes, Old Dublin and Connoisseur’s Choice, each recognized for their complexity and premium positioning. Against the backdrop of globally shrinking volumes for the category as a whole, the Peterson range has delivered consistent volume and revenue growth since 2014.
“M&A is part of the Scandinavian Tobacco Group DNA and we have a proven track record of achieving synergies when acquiring brands and businesses,” said STG Executive Vice President of Sales & Marketing Christian Hother Sorensen.
“We are excited about this small and interesting bolt-on acquisition in our pipe tobacco category. In Peterson Pipe Tobacco we are acquiring a sound portfolio of premium brands that will increase our offering to our consumers—and which we can further develop whilst leveraging our sales and marketing competencies.”
The brand portfolio of Peterson Pipe Tobacco will further increase STG’s presence in important pipe tobacco markets, such as Germany, the U.K. the U.S. and Asia.
Portfolio expanded
