Forward-Looking Vape Weekly: Industry's First M&A as Huoqi Acquires NOS

This article is reprinted from Foresight.com, with the original title: Foresight E-Cigarette Industry Global Weekly Report No. 57: Juul Accused of Recruiting Public Health Researchers to Support Legalization of Electronic Fogging


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I. Hot News of the Week

Juul accused of recruiting public health researchers to support legalization of e-fogging

According to an investigation by ABC affiliate KSTP-TV in Minneapolis, Minnesota, reports that Juul has now been charged with attempting to use company funds to recruit public health researchers in order to legalize the e-fogging industry. At least one researcher at the University of Minnesota told KSTP-TV that he had just completed research on youth use of e-cigarettes in San Francisco when he received an email last year about a potential research opportunity at Juul.KSTP-TV says teens were starting to use disposable e-cigarettes as a loophole in the flavored e-cigarette ban.In a statement, Juul said that after a review of the company's policies it had abandoned the practice of conducting the study after an extensive review.

Taiwan Tobacco Harm Reduction Association sees rational regulation of tobacco harm reduction products as key to lowering smoking rates

July 8 (Bloomberg) -- The Taiwan Tobacco Harm Reduction Association (TTHRA) has submitted a petition to the local government to urge it to allow tobacco harm reduction products, such as e-cigarettes and smokeless tobacco, to be used as part of a key strategy to reduce smoking rates in the region, according to a report by Vapingpost. TTHRA supports this and asks the local government to recognize tobacco harm reduction as a human right in line with the goals of
Tobacco Free Taiwan 2040.

UKVIA applauds Australia's delay of the nicotine ban and calls for the ban to be completely reversed

The ban was set to take effect on July 1 and would have prevented the importation of e-cigarettes and nicotine replacements for an initial 12 months, with a potential fine of up to $220,000 USD. The ban was delayed for six months to allow the Australian authorities to conduct a formal review and consultation on the classification of nicotine. The ban will now begin on January 1, 2021. In response, John & middot; Dunne, head of the UK Electronic Cigarette Association (UKVIA), commented: “We welcome the Australian government's decision to delay this ban and call on them to withdraw it completely within the next six months.

II. Industry News


E-cigarette brand Platinum will submit a market access application to the US in the fourth quarter of this year

E-cigarette brand Platinum will submit a PMTA application (“Tobacco Product Market Access Application) to the U.S. FDA no later than the fourth quarter of 2020. Fang Hui Fang Hui, partner and CMO of Platinum Virtue, said that Platinum Virtue has invested more than 100 million yuan to prepare for this submission. Any new tobacco product needs to be approved by the FDA to consider whether it is conducive to public health before it can be legally marketed in the United States. As of now, no atomized e-cigarette products have been approved by the PMTA.

Changying Precision: The Company's E-Cigarette Factory Has Been Constructed and Put into Operation


An investor in the Shenzhen Stock Exchange interactive easy to ask Changying Precision said, please ask the company electronic cigarette what customers? Specifically to customers to do what? How is the progress? It responded that the company's electronic cigarette factory has been built and put into production, engaged in the production of electronic cigarette parts and components and electronic cigarette finished product assembly business. The company has launched a comprehensive cooperation with domestic and international customers, and some products have entered the mass production stage.

YOOZ releases store joining policy: no set up Maximum subsidy of 3 months rent cash

YOOZ Pomelo recently officially released the latest store joining policy, the YOOZ Pomelo policy is divided into Policy A and Policy B two. Policy A and B two choose one, policy A and B can get free opening materials and free activity support. Policy A is the support for store decoration and goods support, and Policy B is the cash subsidy for rent for three months.



FDA Accepts Premarket Application for Leap and Leap Go, a division of EAS E-Cigarettes USA

July 11, according to foreign news reports, recently, the U.S. electronic cigarette company E-Alternative Solutions (EAS) has received a letter of acceptance and filing from the U.S. Food and Drug Administration (FDA) for its Leap and Leap-Go products.EAS is currently in the Substantive Review stage of the Premarket Tobacco Product Application (PMTA) process. If successful, this phase will result in an FDA sales order authorizing the continued marketing and sale of these products.

Mississippi Senate Passes New Bill: E-Cigarette Purchase Age Raised to 21 #p#Page Break #e#

The Mississippi Senate has passed a new e-cigarette bill, which is currently awaiting the governor's signature. If the governor signs the bill, Mississippi will raise the age for purchasing vapor products to 21 and impose penalties on people under 21 who have been convicted by a court of possessing tobacco or nicotine substitutes: a first-time offender will be subject to a $100 fine and up to 15 hours of community service; for a second offense, a fine of $300 and up to 25 hours of community service; and for a third and subsequent offense, a fine of $500 dollars and up to 40 hours of community service.

Juul in talks with potential buyers for SoMa office building, expects to sell at a loss

Menlo Park-based developer Lane Lane and Newport Beach-based PIMCO are on the verge of acquiring the key Market of South high-rise that embattled e-cigarette maker Juul Labs put up for sale earlier this year, according to multiple people familiar with the matter, the San Francisco Business Times reports. The price of the deal is unclear, but if the sale goes through, the building is expected to cost less than the roughly $450 million price tag the building was expected to fetch when it first went on the market in January.

Former Canadian health minister joins Juul board

Canada's former interim Conservative leader and Health Minister Rona · Ambrose has joined the board of directors of U.S.-based e-cigarette brand Juul after urging Canadians to refrain from using e-cigarettes, according to a report by Vapingpost.Juul CEO K.C. Crosthwaite announced the board earlier this month appointment. He noted that during Ambrose's tenure as health minister, she was involved in efforts to develop regulations aimed at cracking down on the sale of flavored vaping products and taxing cigarettes.

Vape Stop, India's largest e-cigarette retailer, plans to launch e-commerce business in UAE

Vape Stop, India's largest e-cigarette retailer, will open its e-commerce platform and distribution arm in the UAE this year. All products sold at Vape Stop stores are approved by the Emirates Standardization and Metrology Authority (ESMA), a UAE government agency that regulates and approves a wide range of products, including e-nicotine products imported and sold in the country.

III. Investment and Financing


Two major investment institutions to withdraw from the UZO new fog species of electronic cigarettes had invested 36 million yuan

Last June, the electronic cigarette brand UZO new fog kind of A round of financing of $ 36 million recently occurred two major institutional shareholders to exit the information. Last June, UZO new fog kind announced the completion of 36 million yuan A round of financing, the investor is Shenzhen Qianhai color time investment management Co. Information shows that Qianhai Cai Shi and Huajia Bio both withdrew from the institutional shareholders on July 6th.

The first real merger and acquisition in the e-cigarette industry: Firearms acquires NOS

Firearm Electronic Cigarette has officially completed the acquisition of NOS Electronic Cigarette under Huachang in recent days, and the acquisition agreement between the two sides has been formally signed, Firearm receives the electronic cigarette business part in its entirety, excluding Huachang's other businesses and debts. This is also the first real merger and acquisition of the domestic electronic cigarette industry, although both belong to the Bolton Group, but the two sides previously in the company's operations and capital operations are completely independent of the acquisition is also strictly in accordance with the general behavior of the market.

Fourth, IPO Dynamics

China's first e-cigarette shares listed on the market, giving birth to two billionaires

On the 11th, atomization technology provider Simor International officially listed in Hong Kong. The issue price was set at HK$12.4 per share, with 574 million shares offered globally. After deducting underwriting commissions and other estimated expenses, Simcor International is expected to raise about HK$6.86 billion. By the close of trading, Smallsmart International surged 150% to HK$31 per share, up 2.5 times from the offer price, with a total market capitalization of HK$178 billion. Benefiting from this, the market value of shares held by founder and chairman Chen Zhiping exceeds RMB 55.5 billion, and the market value of shares held by deputy general manager Xiong Shaoming exceeds RMB 8 billion, and they have stepped into the ranks of Forbes billionaires.

V. Industry Data


China's e-cigarettes lack industry specifications



Regulations and policies regarding electronic atomizers vary from country to country or region to region. In major markets such as the U.S. and Europe, industry regulations are used to guide the development of the e-cigarette market and are designed to ensure the quality of e-cigarettes and the health of consumers. In the case of China's e-cigarette market, there are currently no relevant policies and regulations in place, which makes the development of the e-cigarette industry highly uncertain.
 
In the future, the e-cigarette market will move towards the following trends:#p#Page Break #e#