Kaival Brands Innovations Group Inc (NASDAQ:KAVL) is the exclusive distributor of Bidi Vapor LLC products in the United States and has made considerable strides in the electronic nicotine delivery system (ENDS) space in recent times.
This morning the company is in the news once again after it emerged that its product VEEBA was launched in the United Kingdom officially and would be distributed by the affiliate of Phillip Morris International (NYSE:PM). Last year, Kaival Brands Innovations Group made a major splash after it was announced that it had signed a distribution agreement with Phillip Morris SA, a subsidiary of the tobacco behemoth Phillip Morris International.
The two firms had also reached an agreement at the time to collaborate on the development of ENDS product called the BIDI Stick, which is currently the highest-selling self-contained ENDS device in the United States. The VEEBA device had been developed by the company as a consequence of this same agreement.
Phillip Morris Limited, which operates in the United Kingdom and Ireland, put out a statement with regard to the development as well. It was noted that in line with the practices at Phillip Morris International, the VEEBA product had been designed specifically to appeal to the tastes of adult smokers. For instance, the product is not going to be available in such flavors which are going to appeal to the younger population.
At a time when ENDS products are facing considerable regulatory scrutiny, it may well prove to be a sound marketing strategy from the two companies. The product is also recyclable and it would be possible for customers to dispose of the device in a responsible manner eventually.