Big Ambitions: BAT Acquires Polish Vaping Business and Partners with RAI

British American Tobacco (BAT) announced the acquisition of Polish e-cigarette companyChic, at the same time with Renault America (RAI) collaborate to share research and continue its exploration beyond tobacco cigarettes.

Just five years ago,Milosz DziurlajsmallvapingcompanyChic, or just by9A team of individuals sells imported products to one of the few e-cigarette smokers in Poland. Things are developing rapidly, and this company now has1200Multiple employees, owned in Poland800a point of sale. In addition, it has a dedicated tobacco oil production facility and a modern research and development center. The company sells leading Polish e-cigarette brands, includingVOLISH、P1、Provog、Cottien、LiQueenandAromativ, control Poland near70%thevapingmarket. It also sells well-known China brands in the Polish market. Therefore, for #p#pagination header #e#BATGenerally speaking, it's not surprising that it has become an attractive asset becauseBATThe goal is to capture quicklyvapingThe world.

Big Tobacco is taking overvapingindustry

British American Tobacco's next generation products (NGP) General ManagerKingsley WheatonSay: AcquisitionCHICThe group has important strategic and commercial significance. Through Europe's largest e-cigarette retail network, as well as important manufacturing and R & D capabilities, it helpsBATExpand scale and market coverage. It further demonstrates our developmentNGPDetermination of product categories.& rdquo;

Although the Polish market is one of the largest in the world, it is expected to grow by about 100 percent this year.31%, reach5.72Hundreds of millions of dollars. This is mainly because the high tax rate on ordinary cigarettes is expected to lead to a decline in smoking rates, which will increase further.vapingQuantity, based on market researchEuromonitorReport.

Regarding the partnership with Reynolds,BATSaid that the technology sharing terms will be until2022Year #p#pagination title #e#12months31Japan's cooperation and mutual authorization of steam product technology between the two parties provide a framework. The partnership will include joint R & D activities and management, scientific and production issues related to steam products.

BATand located in Winston, North Carolina-SalemReynoldsThe company hopes to formally reach an agreement and sign the agreement by the end of this year after reaching consensus on the terms of cooperation. On the other hand,ChicThe acquisition must be made through the Polish Antimonopoly Agency, the Office of Competition and Consumer Protection (OCCP) approval.BATgeneral managerKingsley WheatonSummary: Today, we have achieved two milestones to strengthen our global next-generation product business to further meet the needs of today's consumers.& rdquo;

Despite strict regulations, big tobacco companies thrive

Venture capital investments like this once again prove that the regulation of tobacco products is actually helping large tobacco companies in some way (already invapingIn a dominant position in the market), changes direction and focuses on investing more in one series of products rather than another, but still thrives. In addition, in countries such as the United States,vapingProducts are strictly regulated and the only source of revenue is small businesses that sell these less harmful alternatives.vapingThe company is being eliminated, making way for Big Tobacco to rule again.