E-cigarette maker NJOY hires bankers for possible sale - WSJ

Industry Insight
Jul.20.2022
E-cigarette maker NJOY Holdings Inc has hired bankers for a possible sale of the company, the Wall Street Journal reported on Tuesday, citing people familiar with the matter.

Adds details from the report, background

E-cigarette maker NJOY hires bankers for possible sale - WSJ

July 19 (Reuters) - E-cigarette maker NJOY Holdings Inc has hired bankers for a possible sale of the company, the Wall Street Journal reported on Tuesday, citing people familiar with the matter.

 

The report added the privately held NJOY is likely to be valued at up to $5 billion, according to the sources who cautioned the process was still at an early stage and there was no guarantee a deal would materialize. (https://on.wsj.com/3PHG41Y)

 

If NJOY does not receive a high enough valuation, the company could raise money and stay private, potentially paving the way for a future initial public offering, the Wall Street Journal said.

 

The e-cigarette maker is simultaneously exploring a new fundraising round and aims to raise between $300 million and $500 million, the report added.

 

 

NJOY and Mudrick Capital Management, a majority owner of the company, did not immediately respond to a Reuters request for comment.

 

Late June, Bernstein analyst Callum Elliott wrote in a note that Altria could try to buy privately owned NJOY, which has already succeeded with its PMTA (Premarket Tobacco Product Application) process applications.

 

Rival Juul Labs Inc said on Friday it was in the early stages of exploring several options, including financing alternatives, as the company deals with lawsuits and a probable ban on sales of its e-cigarettes by U.S. health regulators.

 

(Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Krishna Chandra Eluri)

 

The content excerpted or reproduced in this article comes from a third-party, and the copyright belongs to the original media and author. If any infringement is found, please contact us to delete it. Any entity or individual wishing to forward the information, please contact the author and refrain from forwarding directly from here.

DTI drafts administrative order proposing an open-pod and e-liquid ban and opens it for public consultation
DTI drafts administrative order proposing an open-pod and e-liquid ban and opens it for public consultation
Department of Trade and Industry’s (DTI) proposed move to restrict harmful vape products to protect young people, but said only a total ban on all vaping and novel tobacco products would effectively safeguard public health. The group warned that limiting rules to certain products such as open pods and e-liquids could create a “dangerous behavioral loophole,” leading users—especially youth—to switch to disposable or closed-system alternatives instead of quitting.
Feb.10 by 2FIRSTS.ai
Indiana SB 185 Advances: Foreign-Made Vapes Would Be Barred, With Focus on China
Indiana SB 185 Advances: Foreign-Made Vapes Would Be Barred, With Focus on China
Indiana State Sen. Ron Alting is backing Senate Bill 185, which would ban vape shops in Indiana from selling any foreign-made vaping products and restrict retail shelves to U.S.-made items. Alting has framed the proposal as a consumer-safety measure and has singled out China, citing industry reporting that China produces more than 90% of the world’s vape hardware.
Jan.27 by 2FIRSTS.ai
South Korea’s appeal court again sides with KT&G, Philip Morris Korea and BAT Korea in $36.24 million case
South Korea’s appeal court again sides with KT&G, Philip Morris Korea and BAT Korea in $36.24 million case
South Korea’s National Health Insurance Service (NHIS) has again lost on appeal in its damages lawsuit against KT&G, Philip Morris Korea and BAT Korea, seeking ₩53.3 billion (about $36.244 million).
Jan.15 by 2FIRSTS.ai
Alabama House Health Committee advances SB9 to restrict vaping in public spaces under Clean Indoor Air Act
Alabama House Health Committee advances SB9 to restrict vaping in public spaces under Clean Indoor Air Act
The Alabama House Health Committee passed Senate Bill 9 on Wednesday to restrict vaping in public areas under the state’s Clean Indoor Air Act. Introduced by Sen. Gerald Allen, SB9 would add vapes—defined as “electronic nicotine delivery systems”—to the forms of “smoking” currently prohibited in enclosed public places.
Feb.13 by 2FIRSTS.ai
USITC Issues Final Ruling in 337-TA-1392 Investigation, Imposes Limited Exclusion Order and Cease and Desist Orders
USITC Issues Final Ruling in 337-TA-1392 Investigation, Imposes Limited Exclusion Order and Cease and Desist Orders
USITC issues final ruling on oil vaporizing devices, components violating tariff law, with limited exclusion order and cease-and-desist orders.
Jan.21 by 2FIRSTS.ai
BAT FY2025 Results Review Series by 2Firsts
BAT FY2025 Results Review Series by 2Firsts
Feb.12