Scandinavian Tobacco Group (STG), the world's largest cigar and pipe tobacco manufacturer, may become a publicly held company, Reuters reported.

JP Morgan has been engaged to explore the feasibility of selling STG shares in an initial public offering (IPO), the news agency said in a story citing a report in Borsen, a daily publication of Nasdaq OMX Copenhagen. STG is 51 per cent held by Skandinavisk Holding of Denmark. Swedish Match, the snus maker, owns the remaining 49 per Cent.