$KAVL Kaival Brands Looks to Address Key Market Opportunities Following Acquisition of Extensive Vaporizer and Inhalation Patent Portfolio
https://www.globenewswire.com/news-release/20...folio.html
GRANT-VALKARIA, Fla., June 09, 2023 (GLOBE NEWSWIRE) -- 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.
https://www.globenewswire.com/news-release/20...folio.html
GRANT-VALKARIA, Fla., June 09, 2023 (GLOBE NEWSWIRE) -- 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.
