On June 9, Turning Point Brands, Inc., (TPB) a leading provider of other tobacco products (OTP), announced the acquisition of certain tobacco assets and distribution rights from Durfort Holdings and Blunt Wrap USA for $46 million.
Durfort is the long-time supplier of TPB’s make-your-own (MYO) cigar wrap products. The transaction combines Durfort’s and Blunt Wrap USA’s world-class intellectual property and manufacturing know-how with TPB’s market-leading Zig-Zag MYO cigar wraps brand and national distribution.
“We are pleased to enter into this transaction with our business partner,” said Larry Wexler, TPB president and c.e.o. TPB acquires co-ownership in the intellectual property rights of all Durfort’s and Blunt Wrap’s homogenized tobacco leaf (HTL) cigar wraps and cones. TPB will also enter into an exclusive master distribution agreement (MDA) to market and sell the original Blunt Wrap cigar wraps brand in the US. The MDA is expected to be effective in the next 120 days, adding complimentary access to difficult to reach alternative channels.
“This partnership between Durfort and Turning Point Brands has been highly successful in introducing innovative products to the [OTP],” said Danny Sinclair, founder of Durfort and Blunt Wrap USA. “Durfort looks forward to continuing to work with TPB in bringing exciting new alternative products to adult consumers and in expanding distribution of the Blunt Wrap brand through TPB’s nationwide distribution network.”