R.J. Reynolds Tobacco Company, an indirect subsidiary of Reynolds American Inc (RAI), said yesterday that it had signed a definitive vapor technology-sharing and licensing agreement with Nicoventures Holdings Limited, a subsidiary of British American Tobacco.
‘The companies signed a term sheet in September, providing a framework for collaboration and mutual cross-licensing of vapor product technologies through 2022,’ Reynolds said in a note posted on the RAI website.
‘Under the agreement, R.J. Reynolds and Nicoventures will collaborate to develop next-generation vapor products.
‘This collaboration includes a process for joint research and development (R&D) activities, and co-operation on regulatory, scientific and manufacturing issues related to vapor products.’
“This is a great opportunity for the companies to continue to seek innovation in the vapor category, giving adult tobacco consumers more smoke-free options to consider,” said Debra Crew, R.J. Reynolds’ president and COO.
BAT posted a similar note on its website, though its message did not mention Nicoventures and said that the agreement had been signed between BAT and R.J. Reynolds.
To learn what this deal might mean for medium-sized business, please click here.