Tobacco

Oettinger Davidoff Group Acquires Cusano Cigars

Purchase of convenience store-focused producer helps increase firm's U.S. presence
BRADENTON, Fla. -- The Oettinger Davidoff Group, headquartered in Basel, Switzerland, has acquired from the Chiusano family the Bradenton, Fla.-based Cusano Cigars, operated by DomRey Cigar Inc. The acquisition of Cusano Cigars allows the Oettinger Davidoff Group to tap a new source of revenue in the United States, the largest market for premium cigars in the world, in which approximately half of all the world's hand-made cigars are sold. The terms of the acquisition will remain confidential.

Cusano Cigars is the second American company to join the Oettinger Davidoff Group [image-nocss] within a matter of months, further extending the group's U.S. presence. In late 2008, it acquired Camacho Cigars, based in Miami and Danli, Honduras.

Cusano Cigars markets its Dominican Republic-produced cigars in the mid- and upper price segments. In addition, the company has specialized in the multi-channel marketing of tobacco products, supported by a commensurate merchandising service, and it also acts as exclusive importer and distributor for the Dutch Agio Cigars brands "Panter" and "Meharis." The portfolio is complemented by other brands, such as "Perfect Cut," developed especially for the tobacco outlet and convenience store channels. Specialized products are made in the company's own factory, DR Global SA, in the Dominican Republic since the end of 2007.

The Oettinger Davidoff Group and the Chiusano family have already maintained a business relationship for more thanr a decade: Cusano Cigars entrusted the production of its longfiller cigars to Tabadom SA, a subsidiary of the Oettinger Davidoff Group in the Dominican Republic, in 1997.

"Through the incorporation of Cusano Cigars in the Oettinger Davidoff Group, we are gaining access to several new distribution channels in the USA, including the so-called c-stores through subsidiary CTS Concepts LLC and tobacco outlet chains through DomRey Cigar Inc. And our management in the USA will be further strengthened by Michael J. Chiusano, a marketing and sales professional, a profound authority on the market and an innovative thinker," said Dr. Reto Cina, Oettinger Davidoff Group CEO.

"Our family is honored to have been selected and welcomed into the Oettinger Davidoff Group. In the world of cigars, there is no higher compliment than to become part of the Davidoff family. Belonging now to the Oettinger Davidoff Group means our family name and dedication to our products will be shared and protected around the world. The global presence of the Davidoff group is unparalleled and we are proud to become members of such a respected team," said Cusano Cigars founder Michael J. Chiusano.

The Oettinger Davidoff Group is a globally operating family company established in Basel in 1875. With the acquisition of Zino Davidoff's Geneva tobacco shop in 1970, the company sought out to establish Davidoff as an international brand. Today, the group is a leading fully integrated production, international marketing and contract service company for manufacturers of tobacco and confectionery products in the world. Its presence in 120 countries includes tobacco leaf operations, manufacturing facilities, distribution and logistics centers and more than 200 company-owned sales outlets with 58 Davidoff flagship stores worldwide.

With its extensive, diverse global brand portfolio including Davidoff, Zino, Zino Platinum, AVO, Griffin's, Private Stock, Winston Churchill, the recently acquired Camacho and Cusano Cigar brands, the Oettinger Davidoff Group represents a vertically integrated leader in all segments of the international tobacco trade.

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