Vaping Weekly Report: WIPPO and Wanton Receive Investment; RELX Launches New Lingdian

The weekly newspaper will take stock of and share major events that have occurred in the domestic and foreign e-cigarette industry in the past week, striving to make readers become senior figures in the e-cigarette industry.

1. Domestic developments

01. Jiangxi cracked the first illegal operation case of heating non-incendiary smoke bombs, involving a total amount of 34 million yuan
 
According to Jiangnan Metropolis Daily, recently, the Nanchang City Tobacco Monopoly Bureau and the Nanchang City Public Security Bureau and other units jointly successfully cracked the province's first illegal operation of heated non-incendiary cigarettes. The case involved Jiangxi, Jilin, Heilongjiang, Guangdong, Fujian, Henan, Hubei, Shaanxi and other provinces.

According to reports, from July 11 to August 3, investigators arrested multiple suspects from Jiujiang, Changchun, Heilongjiang and other places, involving a total amount of more than 34 million yuan. This case also became the first illegal business case of heated cigarettes cracked in Jiangxi.

02. Chongqing plans to include e-cigarettes in the scope of tobacco control
 
According to upstream news reports, the Tobacco Control Office of the Chongqing City Health Education Institute is organizing a survey on tobacco control regulations in public places in Chongqing City. The survey outline and questionnaires contain a collection of opinions specifically on whether to include e-cigarettes in local legislation. Surveys of 10 key units in the city and one unit outside the province have been completed, and the opinions collected so far are all supportive.

03. E-cigarette WIPPO sketches received tens of millions of financing
 
According to China Financial Information Network, last week, the domestic e-cigarette start-up brand WIPPO completed the first round of financing of tens of millions invested by an industry chain. This round of financing will continue to be used for product research and development, supporting channels with high-frequency consumption scenarios, and deploying overseas markets such as Southeast Asia.

WIPPO is an e-cigarette brand owned by Shenzhen Huajie Tianxin Technology Co., Ltd. The team mainly comes from various e-cigarette related industries such as the Internet, FMCG, e-cigarettes, flavors and fragrances. Currently, two products, WIPPO C disposable small cigarettes and WIPPO PRO re-loaded atomizing cigarettes, have been launched.

04. Wonton e-cigarette completed tens of millions of yuan in Pre-A round of financing and launched a replacement product on August 19  
Wonton Intelligent, the operating company of the e-cigarette brand WONTON, announced that it has completed tens of millions of yuan in Series Pre-A financing. This round of financing is invested by Guangfa Xinde and Inspur Capital serves as the exclusive financial consultant. Huang Yu, founder and CEO of Wonton, said that the financing will be used for product research and development, channel construction and other aspects. Wonton's first-generation new product, WONTON, will be officially launched in China on August 19.

It is understood that Wonton was established in early 2019, focusing on the research and development, production and sales of e-cigarette products. The founding team comes from Apple, Johnson & Johnson, Tencent, Cedar Holdings, Lexin Medical and other companies, and has many years of experience in product development, brand marketing, channel expansion and operation management.

05. Segrei entered the domestic market and launched a new product of oil-filled small cigarettes, glori
 
Recently, Guangdong Segelai Electronic Technology Co., Ltd. launched a new oil-filled small cigarette glori in Shenzhen. This new product is launched in 4 colors: Star Black, Secret Silver, Mocha Gold, and Charm Red; the matching flavor of cigarette bombs includes 8 kinds such as Chunshuang Mung Bean, Summer Cool Black Ti, Autumn Sweet Melon, and Winter Crystal Sydney.

It is understood that the new product glori has designed an oil-filled open cigarette cartridge that can independently choose the flavor of tobacco oil. The cigarette cartridge can accommodate 2.0ml of tobacco oil in a single time and supports three oil-filled times throughout its life cycle.

Guangdong Segelai Electronic Technology Co., Ltd. was once one of the top three e-cigarette brands in the United States. It owns 6 major brands including SIGELEI, SNOWWOLF, FUCHAI, VCIGO, KAOS, COMPAK, and have more than 80 products. Its products are mainly exported to Germany, the Netherlands, Canada, Australia, Russia, the Middle East and Southeast Asia. The launch of new products in China is the first step in entering the China market.# p#pagination title #e#

06. McWeir's revenue in the first half of the year was 3.274 billion yuan, and its net profit was 970 million yuan
 
According to IPO news, Yiwei Lithium Energy (holding 37.55%), the second shareholder of international e-cigarette giant McWail, announced its 2019 semi-annual report on August 16. Information shows that Yiwei Lithium Energy's total operating income in the first half of the year was 2.530 billion yuan, a year-on-year increase of 34.30%; net profit attributable to shareholders of listed companies increased by 215.23% to 500 million yuan.

In addition, the report also disclosed that McWare achieved operating income of 3.274 billion yuan and net profit of 970 million yuan in the first half of the year. If converted based on the equity ratio of 37.55%, McWeir's investment income that should be recognized under the Yiwei Lithium Energy Equity Method for this period is 364 million yuan, equivalent to 72.8% of the current net profit of 500 million yuan.

07. Yueshi officially released Yueshi Lingpoints, cigarette vending machines and community apps
 
On August 18, domestic e-cigarette manufacturer relx held a press conference at the China World Hotel to officially announce the launch of smart e-cigarette Yuexing Point. In addition, at the press conference, Yueshi also launched cigarette vending machines and the RELX ME vertical community.

It is understood that Yuexian uses a Type-C fast charging design that can be charged quickly in 45 minutes. It is also equipped with a 4th generation FEELM ceramic atomizing core and a new generation BLE Bluetooth chip.

At present, Yuexian Lingdian has been pre-sold through e-commerce channels and is expected to be officially put on spot on August 22. The price of one stick and four bombs is 450 yuan. Currently, there are two types of tobacco rods, red and black, with a total of 6 flavors.

In addition, the conference also announced important information such as Yueshi's domestic market share and financing situation.

2. Foreign developments

01. FDA issued warning against four companies for illegal marketing
 
Tobacco Online compiled according to a fox17 report that the U.S. Food and Drug Administration (FDA) recently issued a warning to four companies that produce 44 flavors of e-cigarettes and hookah products, requesting the removal of 44 e-cigarettes and hookah products.

These companies and some of their products include:

Mighty Vapors LLC's business includes the production and marketing of the following products: Hulk Tears NicSalts, Frozen Hulk Tears NicSalts, Majestic Mango NicSalts, Frozen Frozen Majestic Mango NicSalts, Mysterious Pop NicSalts, and Frozen Mysterious Pop NicSalts.

Liquid Labs USA LLC produces the following products under the name Likido Labs USA: VSZNS salty SZN berry salt e-cigarettes, SZNS salty SZN Kapital grape salt e-cigarettes, and SZNSZN neon salt e-cigarettes.

V8P Juice International LLC, products include: V8P Saltz Blonde, V8P Saltz Maami Merengue, V8P Saltz Port Tycoon, V8P Saltz's Last Samurai, V8P Saltz Cowboy Killer and V8P Saltz Pirates of the Caribbean.

Hookah Imports Inc. (Shisha Import Company) produces ROR tobacco products, including flavors such as delicious fudge, sexy girl and raspberry lemon juice.

The FDA is investigating and taking action against these companies 'illegal promotion of e-cigarette products by teenagers in the United States.

02. British American Tobacco Korea released heated non-burning Glo Sens
 
Tobacco Online According to the Korea Herald, British American Tobacco (BAT) recently launched Glo Sens, a hybrid heated non-burning tobacco product based on fusion technology, in South Korea to counter competition from South Korean Tobacco's Lil and Juul, a subsidiary of Juul Labs in the United States.

According to the company, Glo Sens is powered by flavor fusion technology, which combines steam and real tobacco to deliver the aroma of real tobacco.

It is reported that Glo Sens 'first set includes a device, a cover, a pouch and a charging cord, with a total price of 50,000 won (292 yuan). A Neo bomb, including three tobacco bombs and a liquid bomb, will be sold for 4500 won (26 yuan).# p#pagination title #e#

03. The US Centers for Disease Control and Prevention announced nearly 100 cases of lung injury related to e-cigarettes

cnBeta According to foreign media reports, the U.S. Centers for Disease Control and Prevention (CDC) disclosed on Friday local time that it is helping local health officials investigate nearly 100 cases of lung damage that may be related to the use of e-cigarettes containing liquid nicotine and THC solutions in 14 states. They have so far found these cases in five states.

According to health officials, the people affected by the condition are mainly young people and teenagers, some of whom had to take oxygen, some were sent to the intensive care unit, and at least one person entered an induced coma.

Although the health of some patients has improved, doctors do not yet know whether they are likely to recover fully.

04. American Electronic Cigarette Technology Association sues FDA
 
According to foreign media reports, the American Steam Technology Association has filed a lawsuit in federal court, requesting the FDA and the Department of Health and Human Services to extend the PMTA period and other related measures.

Its association member trade group VTA has asked the court to force the FDA to take the following actions

1. Propose and finalize rules to govern PMTA submissions;

2. Submit a reasonable deadline for PMTA after the agency issues a notice of final rules and allow a public comment period;

3. No enforcement measures will be taken on e-cigarette products allowed by law before the new deadline for submitting applications;

4. According to the recent deadline of May 2020 set by the court, no coercive measures will be taken.

Tony Florence, president of another association member, Vapor Stockroom (a tobacco oil manufacturer), said: Our company complies with all regulations set by the FDA and continues to invest in our e-cigarette business, but also hopes that the FDA will fulfill all commitments to PMTA rules, guidance and standards.”