Brown-Forman, the owner of Tennessee whiskey brand Jack Daniel’s, has reached an agreement to divest its whiskey brands Early Times, Canadian Mist and Collingwood to the US-based distillery Sazerac Company.

Under the deal, Sazerac will also acquire Canadian Mist production assets in Collingwood, Canada.

Financial details of the deal are yet to be divulged by either company.

Brown-Forman Corporation president and CEO Lawson Whiting said: “Early Times and Canadian Mist have been valued brands in our portfolio for many years, and they each have played significant roles in our company’s history.

“We are thankful to all the people who have distilled, bottled, shipped, marketed, and distributed these brands with care over the years.”

Early Times is Brown-Forman’s first whiskey brand, purchased in 1923, while the Canadian Mist joined the portfolio in 1971.

The divestiture of the whiskey brands is part of the Brown-Forman portfolio strategy, which focuses on premium brands.

Jack Daniel’s parent company anticipates that portfolio management, along with innovation, will allow it to focus on the best growth prospects and value creation over the long term.

Sazerac Company president and CEO Mark Brown said: “We are delighted to acquire such iconic brands as well as the Canadian Mist Distillery.

“Brown-Forman has done an excellent job building these brands over the years and we expect to invest in the brands and grow their sales in the coming years.”

Completion of the deal is expected to take place later this summer.

For this transaction, Gibson, Dunn & Crutcher advised Brown-Forman, while Cooley provided legal advice to Sazerac.

Earlier this month, Brown-Forman announced a major organisational structure change with the launch of a separate division for its business in Europe.