SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Electronic cigarette brand NJOY, whose ‘NJOY King’ is the most popular e-cigarette in America, has raised $75 million in funding, NJOY CEO Craig Weiss announced today. Investors include serial entrepreneur and investor Sean Parker; and Douglas Teitelbaum, Principal of Homewood Capital. Mr. 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 stated, “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 46 million 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 demonstrated a commitment to advancing research and scientific understanding of the electronic cigarette category and recently announced that Former Surgeon General Dr. Richard Carmona was appointed a member of NJOY's Board of Directors and Chair of the company’s Scientific Advisory Committee.
About NJOY
NJOY is the most popular electronic cigarette brand in America and is known as the industry's "Gold Standard" due to its best-in-class products, patent-pending technology, superior branding, experienced management team and most responsible business practices. The first independent electronic cigarette company to support the nationally recognized We Card Program and join its Manufacturers Advisory Council, NJOY is available in more than 60,000 retail stores nationwide including 24 of the nation's top 25 convenience store chains. NJOY offers a variety of rechargeable and non-rechargeable electronic cigarette products made for adult smokers. These products provide nicotine and rich tobacco and menthol flavor without smoke or odor. NJOY is a trademarked electronic cigarette brand and is headquartered in Scottsdale, Arizona. To learn more about NJOY products visit www.NJOY.com.
About Sean Parker
Sean Parker is an entrepreneur with a record of launching genre-defining companies that reinvent ways to spread information online. In 1999, at the age of 19, Sean co-founded Napster and changed how people think about and share music. Two years later, Sean co-founded Plaxo, pioneering viral engineering technology for updating contact information. Sean served as Plaxo’s president until 2004, when he joined with Mark Zuckerberg to develop the online social network Facebook. Sean was Facebook’s founding president, helping transform that small start-up into an industry giant. In 2007, Sean co-founded Causes, which promotes on-line philanthropy. In 2010, Sean led the first US investment in Spotify, the revolutionary cloud music service, where he continues to serve as a Director.
About Homewood Capital
Homewood Capital is a New York based merchant bank founded by Douglas Teitelbaum, former managing principal of Bay Harbour Management, LC. With a proven track record of involved ownership partnering with the finest management teams, Homewood’s principal has created value across a wide array of industries, examples include the early identification of the change in value of wireless spectrum with the move to mobile data, to the founding capital behind NextG Networks, the growth of Barneys New York, Telcove, Inc., the Planet Hollywood Casino in Las Vegas, and Total Outdoor. Homewood strives to help their portfolio companies operate to the highest standards.