NJOY Raises $75M in Capital for Growth
SCOTTSDALE, Ariz. -- NJOY raised $75 million from several investors to fund marketing, clinical trials, research and development, and international expansion.
Investors include well-known entrepreneur Sean Parker and Douglas Teitelbaum, principal of Homewood Capital. Parker's previous endeavors include Napster and Facebook, which were depicted in the movie "The Social Network."
Teitelbaum will join the electronic cigarette company's board of directors.
"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," said NJOY CEO Craig Weiss. "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."
Scottsdale, Ariz.-based NJOY is well-known for its NJOY King electronic cigarette. Released in the fall, the NJOY King looks, feels and tastes like a traditional cigarette, according to the company.
"The electronic cigarette category, and NJOY in particular, shows great potential," Teitelbaum said. "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."
Parker added, "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 Kings are available in more than 60,000 retail stores, including 7-Eleven, Hess, Chevron, RaceTrac and Circle K convenience stores.