Totally Wicked E-liquid takeover of UK Electronic Cigarette Company in $7.5m acquisition

This corporate action will importantly allow for TWEL to drive further improvements into the service and value it offers to its growing customer base.

Totally Wicked E-liquid was established approximately two and a half years ago with a simple aim; of providing the nascent electronic cigarette user community with a source of quality nicotine e-liquid and flavours, which were at the time extremely limited in range and of unsubstantiated quality. Formed in the UK, Totally Wicked quickly became a company and brand that customers trusted and in December 2008, a fledging Totally Wicked USA was formed. Humble in its origins and providing a limited range of electronic cigarettes and e-liquid, Totally Wicked E-Liquid Inc (TWEL) as the USA Company was to be known, quickly established its market presence and identity. A year later, showing the leadership and foresight that it was becoming known for, TWEL opened a Vapers’ Lounge in Bradenton, Florida. The lounge was the world’s first dedicated facility for the E-cigarette community to purchase product and enjoy a communal space and environment where ‘Vaping’ could be enjoyed. The Totally Wicked brand is now established in numerous countries, with 5 dedicated international websites, with a sixth being added when Totally Wicked Germany goes ‘live’ in July.

The journey has not been an easy one. With the ever-present threat of punitive regulations or even prohibition hanging over the business model, Totally Wicked continued to invest in its growth and brand establishment. No starker were these challenges than in the USA. Across the last year, the company has been engaged in a protracted legal case with the Food and Drug Administration (FDA), attempting to establish and comply with the emerging FDA requirements for the importation of electronic cigarettes and e-liquid . With shipments being routinely ceased and tested, TWEL eventually achieved ground breaking explicit importation sanction from the FDA.

TWEL is currently ostensibly a service provider to the parent UK Company, Pillbox38(USA). TWEL being formed to provide the in-country logistic management and customer service provision for the UK Company. This month however, marks a significant milestone in the growth of the USA business. In July, TWEL will buy for an initial consideration of approximately $7.5m, PillBox38(USA) and will become an autonomous USA incorporated company responsible for and owning all business functions and value streams The company will also be more appropriately structured and prepared for its next phase of growth, which is to invest in its ‘Reselling Scheme’ to enable its comprehensive range of products to be offered beyond the web, to all 50 states using a network of affiliated resellers.

With revenues in the USA forecast to exceed $10m this financial year and brand revenues globally to top $20m in the year to April 2012, Totally Wicked is a story that illustrates how entrepreneurial spirit, supported by passionate customer service ethics and quality products can build opportunity and value.

To mark this important company moment and to thank all its customers that have been part of this on-going story, Totally Wicked will be holding a month long sales with 30% off all website products in both the UK and USA.

Contact:

Totally Wicked E-liquid
+1-888-761-9425
Jason Cropper
j.cropper@totallywicked-eliquid.com