BusinessTN

In the cigar boom of the 1990s, a flood of opportunistic "Don Nobody" cigarmakers filled tobacconist's shelves with indistinguishable sticks. The boom turned some brands into powerhouses, but by the end of the decade the roster of washouts was lengthy.

It was during this time that Nashville's entrepreneurial Ozgener family entered the premium cigar market. Endearingly unpretentious, the Ozgeners — patriarch Cano, son Tim and daughter Aylin — launched boutique brand CAO to modest acclaim. Consistency showed that they cared about their product, but it wasn't something to rival the industry bluebloods down in Florida.

Their ensuing ascent, however, would make for a fine Fitzgerald novella.

Last February, the Ozgeners sold the family business, which sold about 12 million cigars in 2006, for an undisclosed amount to global behemoth Henri Wintermans Cigars, a sibling of ST Cigar Group Holdings, the two of which boast annual revenues reaching $350 million and production numbers of well over a billion cigars, respectively.

"I am very excited by this new alliance, which I feel will offer the company tremendous opportunities, not only in the United States but also internationally," says Tim Ozgener, president of CAO International.

The product evolution at CAO is a model for the industry. The cigar they started with is far from the cigar that turned them into darlings of the industry press, which in turn is far from the blend that put them atop the tasters' rankings. The company's creative blending brings tobaccos from as far afield as Honduras, Brazil, the Dominican Republic, Nicaragua, Costa Rica, Italy and Columbia.

"Now, with Henri Wintermans' expertise," Ozgener, 38, continues, "CAO can evolve to become a truly global brand."

Smoking taste tests are extremely individualistic — how else can you explain clove cigarettes? But the unflinchingly daring marketing arm at CAO matched the model innovation of the product. In an industry that is as conventional as it is ostentatious, a quirky marketing slogan like CAO's classic "Cuban Shmooban" is about as daring as telling Castro to his face, "Hey Fidel, I got your robusto right here, pal!"

Brazen marketing backed by a quality product made CAO a trendsetter for the Pepsi Generation, landing them celebrity licensing deals with faux "mob-stars" from The Sopranos and rock stars like Tommy Lee. CAO flew Lee into Las Vegas last August during the annual industry convention to deejay a party for a few thousand people.

Buying CAO, Holland-based Wintermans, a machine-made cigar manufacturer, takes a big step into the U.S. cigar market. The world's third-largest producer also gets its only premium, handmade cigar brand. There's less money in handmade cigars, but infinitely more prestige, particularly with a brand like CAO.

"I feel what [Cano, Tim and Aylin] have achieved with their brand is not only remarkable but will ultimately become one of the legends of the cigar business," said Gary Hyams, former managing director of Henri Wintermans UK company Loretta Cigars and now CAO chairman, in a February press release.

The deal leaves the company's 23 Nashville employees in place, as well as Tim and Aylin Ozgener in their respective positions with Tim as company president. (Cano retired from the business for health reasons.) Cuban, Shmooban, indeed.