LONDON — The largest Canadian cigar maker plans to sell about 3,000 of its more than 500 brands in Canada, the company said Monday.
The company said it has sold about 700 of its brand-name brands in the country, including two blends from the cigar giant’s flagship brand, Emerson, and two brand-names from brands owned by the company’s smaller rival, Padilla.
The move comes as Emerson continues to fight to regain its position as the largest cigar maker in the world.
In the past five years, it has invested $4.5 billion in a number of businesses that could help it regain its footing.
Emerson CEO David Pardo said the company has decided to sell some of its brands in order to make room for its expansion into Canada.
“Our current strategy for the company is to be able to offer our brands in a broader range of market segments and to expand into Canada in the future,” he said.
The Emerson brand has been around for more than 50 years.
Emerson started in the United States in the 1960s and has since expanded to over 100 countries.
Pardo described Emerson as the “world’s best cigar maker.”
“We are committed to expanding the portfolio of our brands to meet the growing demand of our customers in the developing world, where our cigar brand has a tremendous impact,” he added.
The decision comes after Emerson recently filed for bankruptcy protection in Canada.
The company said its assets are worth $3.5-billion and that it will be seeking bankruptcy protection to protect it from creditors and investors.
It has been in bankruptcy proceedings since June.
The firm is owned by Canadian tobacco giant Altria Group, which was founded in the 1930s.