(Taat Lifestyle & Wellness Ltd. stock chart – May 2020 – October 2020. Click to enlarge.)
Few companies have seen a run in the autumn of 2020 as good as Taat Lifestyle & Wellness Ltd. (CSE: TAAT, OTCQB: TOBAT, Forum), especially when you look at its share performance compared to so many other businesses who are still working to dig themselves out of the epic global cratering sustained in March.
The cause of this recent jump in activity? It can be mainly attributed to major news coming from the Company that essentially
established it as a global cigarette brand offering a key service in an $800 billion market. A veritable heavyweight in the financial sector is investing in the Company’s smoking alternative / cessation product.
Taat recently developed an analogue to tobacco cigarettes, a solution for anyone looking to reduce or quit their cigarette consumption. It is called Taat and its nicotine-free and tobacco-free base material is Beyond Tobacco™.
(Image via Taat Lifestyle & Wellness Ltd.)
Taat explained:
Engineered to mimic the many sensory and motor elements associated with the experience of smoking a tobacco cigarette. Taat, through its patent pending refinement process, produces a combustible product that boasts elements such as a tobacco-like scent and taste, an enhanced volume of smoke, and even an audible “crackling” as it burns. Taat is offered in Original, Smooth, and Menthol varieties.
The importance of tobacco control in China was highlighted by the World Health Organization (WHO), in light of the added risk and complications that smokers may suffer from the COVID-19 virus.
The WHO released data from September 2020 which indicated that the total economic cost of smoking in China rose by 1,000% between 2000 and 2014, which places an enormous burden on the public health system. Even the production of tobacco has been known to have an adverse and long term effect on the environment.
Compare this to Taat, which does not require any tobacco. It offers the potential to lessen the effects of tobacco production, another angle of possible economic impact, in addition to the pr consumer-level utility of the product itself.
Private placement:
In mid-October 2020, Taat closed a private placement of $6.7 million (CAD), personally led by the co-founder of well-established venture capital group Horizons Ventures, Ms. Debbie Chang. This financing will help fund and accelerate the launch of Taat, its tobacco-free and nicotine-free combustible analogue to cigarettes, in the United States this year. Horizon Ventures’ management includes Hong Kong billionaire Li Ka-Shing, a majority owner of Husky Energy (TSX: HSE), one of Canada's largest integrated energy companies.
The leadership team behind Taat believes that this placement will further encourage its own principal business objective to commercialize Taat as a novel alternative to tobacco cigarettes.
The Company recently released a video statement from Taat Chief Executive Officer Setti Coscarella on this issue.
A former lead strategist at cigarette company Philip Morris International, CEO Coscarella commented on the significance of major financing the Company received earlier this month which will play a significant role in its immediate and near-term business objectives.
In the video below, he describes how the strategic partnership formed by way of this private placement could potentially expedite future expansion initiatives.
(Click to play video.)
With the funds raised from this financing, the Company intends to expand its currently planned initiatives for launching Taat in its initial target market of Ohio. The Company also intends to further its research and development of both Taat and the Beyond Tobacco™ base material, as well as examine possible expansion into additional markets in the United States.
Taat Chief Executive Officer Setti Coscarella commented, “It is with pleasure that I announce the escrowed closing of the Placement with Taat. With our experience-driven analogue to tobacco cigarettes that contains no tobacco or nicotine, our objective is to provide a choice for current tobacco smokers of legal age to leave nicotine behind. In doing so, we seek to create meaningful social, economic, and humanitarian impact by helping to alleviate the effects of tobacco use and production.”
Ohio-based ADCO Distributors, Inc., an established distributor of tobacco cigarettes for top global brands such as Marlboro, Newport, and Camel entered into a distribution agreement with the Company on October 6th, to carry Taat in its Original, Smooth, and Menthol varieties among its tobacco cigarette offerings.
For a complete rundown of Taat milestones achieved in the last six months, click here.
Investment conclusion:
Between additional operating capital and resources that can facilitate expedited growth, this financing builds upon momentum that the Company has gained from its several key accomplishments that were secured over the course of this year. Taat Lifestyle & Wellness Ltd. offers a unique product that is highly needed around the world with transformative potential. Major financers have already taken notice and are moving in, investors who want to get the most out of this opportunity before it really erupts should make a move sooner, rather than later.
For more on this Company, visit TaatUSA.com.
FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.