diff --git a/rhodecode/lib/vcs/backends/hg/repository.py b/rhodecode/lib/vcs/backends/hg/repository.py
index 7424857b..b125daaf 100644
--- a/rhodecode/lib/vcs/backends/hg/repository.py
+++ b/rhodecode/lib/vcs/backends/hg/repository.py
@@ -813,7 +813,7 @@ class MercurialRepository(BaseRepository):
         squash_commits=False,
     ):
         if squash_commits:
-            strategy = "squash and merge"
+            strategy = "rebase and collapse"
         elif use_rebase:
             strategy = "rebase"
         else: