Kaival Brands Innovations Group, Inc. (NASDAQ:
KAVL) (“Kaival Brands,” the “Company” or “we,” “our” or
similar terms), today provided additional details of its
recently-acquired extensive patent portfolio from GoFire, Inc. as
it looks to expand its current product offerings to explore near
and long-term revenue opportunities.
In the near term, Kaival Brands expects to seek
third-party licensing opportunities in the cannabis, hemp/CBD,
nicotine and nutraceutical markets, as a means of monetizing its
new patents. Longer term, the Company believes it can utilize the
acquired patents to create innovative and market-disruptive
products for its growing base of adult consumers, including patent
protected vaporizer devices and related hardware and software
applications.
The consideration for the purchased patents
consisted primarily of Kaival Brands equity securities, consisting
of common stock, newly designated Series B Preferred Stock and a
warrant to purchase common stock. Importantly, in certain key
aspects, the equity consideration was structured in a
forward-looking manner with valuations or exercise prices struck at
premiums to the current market price of Kaival Brands’ common
stock. The weighted price per share of the common stock issued and
the common stock underlying the Series B Preferred Stock was $1.53
per share on the May 30 closing date, accompanied by warrants with
exercise prices ranging from $3.00 and $6.00.
Included in the acquired technologies are
patented systems and methods that are designed to overcome common
issues regarding reliability and consistent dispensing over the
entire life of a cartridge or reservoir, as well as improvements to
the vaporizing chamber to ensure complete vaporization with minimum
residue.
The acquired patent portfolio includes the
following:
- Bluetooth Child Safety App
and Mechanical Cartridge Protection- A dual lockout system
including a child safety lockout via Bluetooth app and child safety
measures built mechanically into the cartridge design to prevent
accidental consumption by minors.
- Controlled
Delivery- Patented Twist-to-Dose™ technology utilizes a
micro-threaded piston that provides consistent and precise delivery
of consumables. There is an audible “click” so the consumer knows
exactly how much is inhaled with each use.
- Flavor Delivery and
Experience to Last Puff- Patented technology eliminates
the bad taste that is associated with oil and e-liquid degradation.
The RefreshFlavor™ technology is designed in a novel way to keep
the vaporized solution safely away from the heating chamber until
the moment it is consumed.
- Leak Proof Design and
Removal of Cutting Agents- Patented sealed reservoir
prevents leaks from occurring. Ordinary cartridges rely on
dangerous thinning agents and wicks to deliver the oil and e-liquid
to the heating chamber. The Twist-to-Dose™ technology with
micro-threaded piston system can directly extrude oil into the
heating chamber decreasing carbonyl and analyte formation.
- Authentication
System/Counterfeit Protection- The acquired patents also
include novel cartridge/pod identification and
authentication/counterfeit protection capabilities.
- Dry Puff
Protection- Certain elements of the acquired technologies
design mitigate “dry puffs” which can occur when the consumable
reservoir in a vaping/inhalation device is depleted, allowing the
coil or wick to burn dry and emit potentially harmful toxins.
- 510 and Pod
Compatibility- The technology included in the acquired
patents is compatible with both the universal 510 thread format as
well as pod based systems, the dominant formats of vaporizer and
inhalation technologies.
- Product Remaining
Indicators- The acquired technology
provides indicators allowing for consumer insight into remaining
product supply.
- MHRA Requirements-
Technology is designed to meet all Medicines and Healthcare
products Regulatory Agency (MHRA) requirements in the United
Kingdom.
The GoFire patent portfolio includes 12 existing
patents and 46 pending applications with novel technologies across
extrusion dose control, product preservation, tracking and tracing
usage, multiple modalities (i.e., different methods of vaporizing)
and child safety. The patents and patent applications cover
territories including the United States, Australia, Canada, China,
the EPO (European Patent Organization), Israel, Japan, Mexico, New
Zealand and South Korea. The portfolio also includes a proprietary
mobile device software application that is used in conjunction with
certain patents in the portfolio.
The acquired assets are housed in Kaival Labs,
Inc., a wholly owned subsidiary of Kaival Brands which develops new
branded and white-label products and services in the vaporizer and
inhalation technology sectors.
To learn more about the acquisition and for a
broader transaction overview, please see our release from May 31,
2023. For potential licensing inquiries, please reach out to
Stephen Sheriff, Director of Communications and Administration:
investors@kaivalbrands.com.
ABOUT KAIVAL BRANDS
Based in Grant-Valkaria, Florida, Kaival Brands
is a company focused on incubating innovative and profitable
adult-focused products into mature and dominant brands, with a
current focus on the distribution of electronic nicotine delivery
systems (ENDS) also known as “e-cigarettes”. Our business plan is
to seek to diversify into distributing other nicotine and
non-nicotine delivery system products (including those related to
hemp-derived cannabidiol (known as CBD) products). Kaival Brands
and Philip Morris Products S.A. (via sublicense from Kaival Brands)
are the exclusive global distributors of all products manufactured
by Bidi Vapor.
Learn more about Kaival Brands at
https://ir.kaivalbrands.com.
ABOUT KAIVAL LABS, INC.
Based in Grant-Valkaria, Florida, Kaival Labs is
a 100% wholly-owned subsidiary of Kaival Brands focused on
developing new branded and white-label products and services in the
vaporizer and inhalation technology sectors. Kaival Labs’ current
patent portfolio consists of 12 existing patents and 46 pending
patent applications with novel technologies across extrusion dose
control, product preservation, tracking and tracing usage, multiple
modalities and child safety. The patents and patent applications
cover territories including the United States, Australia, Canada,
China, the EPO (European Patent Organization), Israel, Japan,
Mexico, New Zealand and South Korea. The portfolio also includes a
fully-functional proprietary mobile device software application
that is used in conjunction with certain patents in the
portfolio.
Learn more about Kaival Labs at
https://kaivallabs.com.
Cautionary Note Regarding
Forward-Looking Statements
This press release and the statements of the
Company’s management and partners included herein and related to
the subject matter herein includes statements that constitute
“forward-looking statements” (as defined in Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended), which are statements
other than historical facts. You can identify forward-looking
statements by words such as “anticipate,” “believe,” “continue,”
“could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,”
“position,” “prospects,” “should,” “strategy,” “target,” “will,”
and similar words. All forward-looking statements speak only as of
the date of this press release. Although we believe that the plans,
intentions, and expectations reflected in or suggested by the
forward-looking statements are reasonable, there is no assurance
that these plans, intentions, or expectations will be achieved.
Therefore, actual outcomes and results (including, without
limitation, the will be able to monetize the acquired assets
described herein, and the impact of such efforts on the Company’s
results of operations) could materially and adversely differ from
what is expressed, implied, or forecasted in such statements. Our
business and our ability to expand and grow our business due to the
assets we acquired from GoFire may be influenced by many factors
that are difficult to predict, involve significant risks and
uncertainties that may materially affect actual results, and are
often beyond our control. Factors that could cause or contribute to
such differences include, but are not limited to: (i) future
actions by the FDA that could impact our business and prospects,
(ii) the outcome of FDA’s scientific review of Bidi Vapor’s pending
FDA Premarket Tobacco Product Applications, (iii) the results of
international marketing and sales efforts by Philip Morris
International, the Company’s international distribution partner,
(iv) how quickly domestic and international markets adopt our
products, (v) the scope of future FDA enforcement of regulations in
the ENDS industry or other sectors we may enter, including the
cannabis industry, (vi) the FDA’s approach to the regulation of
synthetic nicotine and other potential products we may manufacture
or sell in the future and its impact on our business, (vii)
potential federal and state flavor or other bans and other
restrictions on ENDS products and other potential products we may
manufacture or sell in the future, (viii) whether we will be able
to successfully integrate and capitalize on the patents we have
acquired from GoFire, of which no assurances can be given, (ix)
general economic uncertainty in key global markets and a worsening
of global economic conditions or low levels of economic growth, (x)
the effects of steps that we could take to reduce operating costs,
(xi) our inability to generate and sustain profitable sales growth,
including sales growth in U.S. and international markets, (xii)
circumstances or developments that may make us unable to implement
or realize anticipated benefits, or that may increase the costs, of
our current and planned business initiatives, (xiii) significant
changes in our relationships with our distributors or
sub-distributors and (xiv) other factors detailed by us in our
public filings with the Securities and Exchange Commission,
including the disclosures under the heading “Risk Factors” in our
Annual Report on Form 10-K for the fiscal year ended October 31,
2022, filed with the Securities and Exchange Commission on January
27, 2023 and other disclosures contained in our SEC reports, all of
which are accessible at www.sec.gov. All forward-looking
statements included in this press release are expressly qualified
in their entirety by such cautionary statements. Except as required
under the federal securities laws and the Securities and Exchange
Commission’s rules and regulations, we do not have any intention or
obligation to update any forward-looking statements publicly,
whether as a result of new information, future events, or
otherwise.
All Press Inquiries and Kaival Brands Investor
Relations:Stephen Sheriff, Director of Communications and
AdministrationIr.kaivalbrands.cominvestors@kaivalbrands.com
Kaival Brands Innovations (NASDAQ:KAVL)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
Kaival Brands Innovations (NASDAQ:KAVL)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024