ReCreation Marketing, a Canadian distribution company, has rebranded itself as Turning Point Brands Canada (TPB Canada). The name change will go into effect immediately and follows a transaction completed on July 30, 2021 that resulted in Turning Point Brands increasing its equity stake in ReCreation Marketing to a majority position,” according to a press release.
Credit: Turning Point Brands
“ReCreation Marketing changing its name to Turning Point Brands Canada reflects our commitment to our shared values with TPB and to expanding the exposure and reach of iconic core brands, such as Zig-Zag, in Canada,” said Mikail Fancy, Chief Operating Officer of TPB Canada. “TPB Canada is laser-focused on creating value directly with, and for, our partners, by offering a portfolio of recognized, differentiated, consumer-relevant brands and products.”
Turning Point Brands, Inc. (NYSE: TPB), a manufacturer, marketer and distributor of branded consumer products, including alternative smoking accessories and consumables with active ingredients. Turning Point Brands Canada continues to focus its resources on being a leader in the cannabis accessory category in Canada by fostering long-term, growth-oriented partnerships with manufacturers and retailers.
“The rebrand of ReCreation Marketing to TPB Canada is a testament to our confidence in the ReCreation management team and is a natural extension of our infrastructure and portfolio development that puts consumers and their evolving needs at the center of our strategy,” added Larry Wexler, CEO of TPB. “This change further demonstrates our commitment to positioning TPB as a leader in branded consumer products.”
A congressional investigation has identified Bloomberg Philanthropies as the source of funding for local anti-vaping groups that are accused of spreading lies to discredit a Senate bill that aims to regulate e-cigarettes and heated tobacco products in the Philippines, according to consumer advocates.
Credit: Pathdoc
The National Consumers Union of the Philippines (NCUP) and Vaper AKO in a joint statement challenged anti-vaping organizations to substantiate their allegations against Senate Bill No. 2239 with scientific evidence, and “not with pure insinuations,” according to the Inquirer. The joint statement was issued as the Senate continues to deliberate on the bill that aims “to objectively regulate” next generation tobacco products.
“Stop twisting facts and demonizing SB 2239 whose very purpose is to objectively regulate a much better option to cigarettes. Stop misinformation that causes unfounded fear that drives people away from abandoning smoking. If the vaping bill is not passed into law, 1 million vapers will be driven back to smoking,” NCUP president Anton Israel said.
NCUP and Vaper Ako also questioned the agenda of the anti-vaping groups. “It’s ironic that these anti-vaping organizations, some led by doctors, are dismissing the voluminous scientific data supporting the merits of vaping and HTPs. Instead of objectively looking at the evidence, they use exaggerated scare tactics to keep adult smokers from having access to better alternatives,” Israel said, adding, “Whose interest are they promoting?”
Vaper AKO spokesman Joaqui Gallardo agreed, saying that the anti-vaping advocates are oversimplifying the smoking problem by stating that smokers can simply quit. “DOH data itself reflects only 4 percent of smokers are quitting despite existing approaches, while nations like UK, Japan, and numerous European countries are seeing a significant decline in smoking rates with the introduction of e-cigs and HTPs,” he said.
Israel said a convener of an anti-vaping group publicly contradicted herself by saying vaping causes cancer, while at the same time noting that it takes 20 years for cancer to develop. “How can they make this hasty conclusion when clearly vaping has not been commercially available 20 years ago. She also said COPD (chronic obstructive pulmonary disease) develops faster with vaping without citing scientific evidence. These reckless pronouncements will prevent smokers from moving away from the deadly cigarette instead of switching to a less harmful alternative that can potentially save lives.” he said.
Gallardo also expressed doubts about the credibility of the support the anti-vape group is getting.
“It’s impossible to believe that their baseless views, supposedly supported by different health associations, reflect the collective and honest stance of all the organizations’ members. It’s a fact that there are many local doctors who use and recognize that e-cigarettes are less harmful than smoking. And it’s lamentable that their voices are drowned out by these noisy minority who are peddling the narrative of their foreign funder,” Gallardo said.
The vape bill, according to Israel clearly states that minors are prohibited from accessing e-cigarettes and HTPs. He noted that a third of the version deliberated in the Senate is dedicated to protecting minors. He also dismissed the claim that the Department of Trade and Industry has no capacity to regulate vapor products while raising the objectivity issues of the Food and Drug Administration (FDA).
“Have we forgotten already that the FDA has been exposed during a congressional investigation to have received money from Bloomberg to fund the drafting of regulation on vapor products and HTPs?,” he asks. With their clear as day biased stance on e-cigs and HTPs, how can we expect the agency to implement a balanced regulation on these products?”
China’s recently announced regulatory framework for e-cigarettes should secure the vapor industry’s future in that country, according to leading players in the business.
On Nov. 26, China’s state council amended the tobacco monopoly law to include vapor products, meaning that, going forward, e-cigarettes will be managed like combustible cigarettes.
With more than 300 million smokers—27 percent of adults—China is the world’s largest tobacco market. It also produces about 90 percent of the world’s e-cigarettes, primarily in the technology manufacturing hub Shenzhen.
The government and the tobacco industry are, essentially, one entity in China, with the State Tobacco Monopoly Administration regulating the industry and China National Tobacco manufacturing tobacco products.
To date, the vapor industry in China has operated in a legal grey area. Regulation had been widely anticipated, but many feared that it would wipe out the sector. The Nov. 26 announcement, however, was welcomed by leading players in the business. Industry representatives say it removes uncertainty and will weed out bad actors.
In background article on the recent news from China, Filter cited Smoore global PR manager Frankie Chen, who expects national mandatory standards to significantly improve product safety and provide global vapers with better products.
“Since the standards set higher requirements for vaping manufacturing, it is expected that only the responsible manufacturer with comprehensive safety management can be compliant,” Chen was quoted as saying.
RLX Technology, too, welcomed the new regulatory framework. “We believe the sector will enter a new era of development—an era marked by enhanced product safety and quality, augmented social responsibilities, and improved intellectual property protection,” said RLX Technology chairperson and CEO Ying Wang at the presentation of the company’s third quarter results.
RLX Technology Chief Financial Officer Chao Lu said the company is well prepared for the new operating environment. “The investments we made in products, talents, research, and compliance in the third quarter and beyond will place us in advantageous positions under the new regulatory paradigm,” he said.
RLX Technology today announced its unaudited financial results for the third quarter ended Sept. 30, 2021.
Net revenues were CNY1.68 billion ($260.2 million), representing a decrease of 34 percent from CNY2.54 billion in the second quarter of 2021.
Gross margin was 39.1 percent, compared to 45.1 percent in the second quarter of 2021. U.S. GAAP net income was CNY976.4 million, compared with CNY824.3 million in the second quarter of 2021.
Non-GAAP net income was CNY452.7 million, compared with CNY651.8 million in the second quarter of 2021.
“In the third quarter, we continued to develop our business through concerted efforts deepening our scientific research abilities, adding to our differentiated product portfolio, and enhancing our sustainability initiatives. We also strengthened our core capabilities by expanding our talent pool, optimizing our retail network and making digitalization upgrades to our operating infrastructure,” said Ying (“Kate”) Wang, co-founder, chairperson of the board of directors and CEO of RLX Technology, in a statement.
“Looking ahead, with the formal confirmation of the amendment to the implementation rules of tobacco monopoly law announced last week bringing innovative tobacco products including e-cigarettes under the regulatory framework, together with the draft administrative measures for electronic cigarettes and the draft national electronic cigarette product standards announced earlier this week, we believe the sector will enter a new era of development—an era marked by enhanced product safety and quality, augmented social responsibilities, and improved intellectual property protection. These developments will pave way for long-term sustainable growth in this sector.”
“In the past quarter, we placed even more focus on investments in R&D, organizational upgrades and operational efficiency improvements in existing channels, shifting from the efforts on distribution network expansion in previous quarters,” said Chao Lu, chief financial officer of RLX Technology. “As a result, we have a richer product portfolio in the pipeline and healthier inventory levels across our value chain.”
“We believe our quarterly revenue drop was temporary, and the investments we made in products, talents, research, and compliance in the third quarter and beyond will place us in advantageous positions under the new regulatory paradigm. We expect these investments to yield steady and sustainable growth soon,” Lu added.
Draft rules governing e-cigarettes were issued Thursday by China’s tobacco regulator. The move brings vaping products out of a regulatory grey area and under the oversight of the state. The State Tobacco Monopoly Administration’s draft rules follow China’s cabinet last week amending its tobacco monopoly law to include e-cigarettes.
Credit: Timothy S. Donahue
According to the draft rules, companies selling e-cigarettes in China must meet national standards in order to register with the tobacco authority and do business legally, according to Reuters. Companies engaged in the production of e-cigarettes must also receive a special license from the tobacco authority, provided they can prove that they have the funds for production and a facility with equipment that meets standards.
The tobacco authority said that it will establish a “unified national electronic cigarette transaction management platform” that all licensed e-cigarette wholesalers and retailers “must sell products through.” Tax collection and payment of e-cigarettes, meanwhile, “shall be implemented in accordance with national taxation laws and regulations,” the regulator wrote.
A bevy of Chinese companies manufacturing and selling nicotine salt-based e-cigarettes for the domestic market emerged in 2018 following the success of similar products overseas. The largest among them, RELX Technology Inc. went public in New York in January. China’s cigarette industry operates under a state-run monopoly directly controlled by the tobacco regulator, which dictates pricing and distribution for brands and generates tax income for the government.
Voopoo has announced the international launch of the Drag S/X PnP-X Kit. The product features a comprehensive technical upgrade on the basis of Drag S/X and pays tribute to medieval knights.
Drag S/X PnP-X Kit is available in five colors—Shield Gold, Knight Red, Knight Chestnut, Dragon Knight, Eagle Black and Knight Gray.
The metal materials and knob-filling function on the top of the device have been upgraded, and the 510 drip tip can be replaced at any time. It is anti-leakage, more convenient and more flexible, according to Voopoo.
The knight series products also come with an “infinite airflow system” that supports the adjustment of any airway. It is equipped with a powerful GENE.TT chip, and adjustable power ranging from 5-60/80w. The product can be started in 0.001 second.
KT&G’s share of the South Korean market for electronic nicotine delivery systems (ENDS) rose to a record 40.7 percent by the end of September, reports The Pulse News.
The company’s performance is driven by the success of new tobacco sticks, such as Fiit and Miix, which are compatible with its heat-not-burn cigarette brand Lil.
Cumulative sales of Lil devices surpassed 4 million units this year, compared with 3.22 million in 2020.
The company’s key growth driver has been Lil Hybrid 2.0, which combines KT&G`s proprietary technology using cartridge and stick.
KT&G is also strengthening the lineup of dedicated sticks for its devices. The lineup of Fiit and Miix sticks almost doubled from 11 types in 2019 to 20 today.
The Lil brand has been well received internationally, as well. In a global partnership with Philip Morris International, the KT&G product is now sold in 10 countries, including Russia, Ukraine and Japan.
A new study suggests that men who vape nicotine are more than twice as likely to experience erectile dysfunction compared to those who don’t vape. In the first effort to study the relationship between vaping and sexual health, researchers analyzed self-reported data from more than 13,000 men aged 20 and older surveyed in the national Population Assessment of Tobacco and Health Study.
Credit: Paolese
Nicotine has long been called a factor in erectile disfunction. Men who smoked more than 20 cigarettes daily had a 60 percent higher risk of erectile dysfunction, compared to men who never smoked, according to the American Heart Association (AHA). Smoking, according to the AHA, and erectile dysfunction have often been associated — individually — with plaque build-up in the arteries, called atherosclerosis.
According to the lateststudy published Wednesday in the American Journal of Preventive Medicine, those who reported daily e-cig use were 2.2 times more likely to report having erectile dysfunction compared to men who had never vaped, regardless of their other risk factors. In a smaller sample of men younger than 65 with normal BMIs and no history of cardiovascular disease, the trend persisted: vapers were 2.4 times more likely to experience ED compared to non-vapers.
While some may view vaping as a healthier alternative to cigarettes, consuming nicotine in excess will always come with risks, lead author Omar El Shahawy, MD, told Insider. “Overall, e-cigarettes are likely less harmful than smoking cigarettes to the degree that they substitute cigarette smoking,” El Shahawy, assistant professor in the Department of Population Health at NYU Langone, wrote in an email to Insider. “For men who smoke and want to switch because vaping is less harmful, they should try to limit their vaping because it is simply not risk free.”
Respira Technologies plans to submit an investigational new drug application (IND) to the U.S. Food and Drug Administration in 2022 for the world’s first inhalable nicotine-replacement therapy.
“There is a void of innovation in solving the smoking crisis from traditional healthcare companies, and as a result, Big Tobacco is trying to position itself as the solution to the problem they’ve created. At Respira, we believe only our technology can effectively help end the death and disease caused by smoking while simultaneously meeting CDER’s [Center for Drug Evaluation and Research] high standards for both safety and efficacy,” said Mario Danek, CEO and founder of Respira Technologies, in a statement.
“We are very pleased with the productive and collaborative discussion with FDA and have confidence that FDA’s guidance will help us achieve our goal to end the death and disease caused by smoking,” said Danek. “The Pre-IND is just the first of many major milestones Respira will achieve, and we are excited to advance our plans to submit our IND to begin human clinical studies.”
In 2020, the company said it aims to disrupt a $618 billion market dominated by decades-old gums and patches from pharmaceutical companies as well as tobacco companies’ electronic nicotine-delivery devices with a nebulizer that converts nicotine to an aerosol.
Respira’s senior management includes Chief Operating Officer Brian Quigley, who spent 16 years at Altria Group where he was CEO of the smokeless tobacco business from 2012 to 2018.
Vapor companies are vying to get their product prescribed by the U.K. National Health Service after the Medicines and Healthcare products Regulatory Agency last month encouraged companies to apply for a medical license, reports The Financial Times.
Companies preparing applications include U.S.-based NJOY, DSL Group, which owns Nottingham-based Multivape, Yatzz of Ireland and Leeds-based Superdragon, whose director David Xiu described the potential market as “much more than a multimillion-pound” opportunity.
The e-cigarette market is worth more than £2 billion ($2.66 billion) in the U.K., according to Euromonitor, much more than in other European countries.
As of yet, none of the leading tobacco companies have launched medicinal-use applications for the vapor brands.
Imperial Brands, the U.K. owner of Blu e-cigarettes, said it was “carefully studying the new guidance.” Japan Tobacco International said it had “not made any decisions regarding licenses” for its Logic brand of vapes. Juul Labs said it had “nothing to announce at this time.”
British American Tobacco, which owns Vuse, declined to comment.
BAT-backed nicotine inhaler Voke received U.K. medical approval in 2014, but was scrapped after financing and manufacturing difficulties.
The medical device will be locked down to a significant degree, with changes only possible infrequently and after jumping through a lot of hoops.
Tobacco analyst Erik Bloomquist said companies may prefer commercial routes due to the length of the approval process. Licensing could take several years, during which time products can become out of date.
“The medical device will be locked down to a significant degree, with changes only possible infrequently and after jumping through a lot of hoops,” he said.
Compliance costs could also be prohibitive for smaller groups. Chris Allen, chief scientific officer at consultancy Broughton, said clinical trials, marketing and compliance costs could amount to as much as £3 million to £5 million for a single product. This means that “only a handful of companies would look at this path,” he said in a statement.
