E- cigarette maker NJOY raises $75m
Funding to be used for marketing, clinical trials, R&D, global expansion
US-based electronic cigarette brand NJOY, maker of the ‘NJOY King' e-cigarette, has raised $75m in funding, NJOY CEO Craig Weiss announced today.
Investors include serial entrepreneur and investor Sean Parker; and Douglas Teitelbaum, principal of Homewood Capital. Teitelbaum will join NJOY's board of directors.
Funding will be used for marketing, clinical trials, research and development, and international expansion.
"These individuals are among the world's leaders in identifying paradigm-shifting consumer technology investment opportunities, and their investment represents confidence in NJOY's model," Weiss said.
"The successful completion of this capital raise underscores the growth potential for NJOY as it continues to lead the electronic cigarette market, and our ongoing confidence in the huge promise of our business."
Teitelbaum said: "The electronic cigarette category, and NJOY in particular, show great potential. After lengthy study, Sean and I are convinced that NJOY will continue to innovate and lead the smoker away from all the negatives of combustion with their smoker familiar product.
"As a former smoker, and after trialing many products in search of a compelling alternative to cigarettes, I found the NJOY King to be in a league of its own in terms of flavor, brand, and product experience. There are 46m US smokers, most all of whom are, for a variety of reasons, interested in an alternative to cigarettes that will provide the same flavor and brand reliability. NJOY's standards firmly establish their leadership role in guiding the smoker towards a better future. We are honored to put the capital behind this worthwhile effort."
"As an entrepreneur and investor I'm drawn to disruptive companies in explosive new markets," Parker said.
"The common thread between these companies is a missionary desire to leverage technology to change the world. I'm optimistic that the clever application of technology might someday obsolete the combustion cigarette and all the harm it causes." Parker said.
"Solving this problem takes a world-class leadership team that brings together executives across a range of disciplines from electrical engineering, to chemistry, to consumer marketing. The proof is in the pudding: NJOY's King product has succeeded in capturing a market leadership position.
"Like every great technology company, NJOY has demonstrated a willingness to constantly iterate and reinvent itself. The result of this investment in innovation has been the most satisfying alternative ever created to combustion cigarettes. We are excited to be an investor in this company and to participate in the massive growth of this segment."
NJOY has also recently announced that former US Surgeon General Dr Richard Carmona was appointed to NJOY's board of directors and chair of the company's Scientific Advisory Committee.