The e-cigarette company Juul faces an uncertain future.
Ten years after a party in San Francisco launched their original device, Ploom, the company received an investment of $ 12,8 billion from Marlboro producer Altria. Silicon Valley's Juul You can read our article below to see the rise.
- 2004: Graduates of product design at Stanford, James Monsees and Adam Bowen create ideas for Juul's pioneer Ploom.
- 2007: Monsees and Bowen start the evaporator start Ploom in San Francisco.
According to PitchBook, Ploom provided $ 2008 in venture financing by February 900.000 and raised its valuation to roughly $ 3 million.
Ploom device sold for $ 2011 in a 75 release, described as a non-heat-combustible product that could be filled with a single service called "Ploom Capsules." Broad beans may contain tobacco or non-tobacco components.
August 1, 2013: Ploom launches Pax with a launch party in San Francisco.
Approximately $ 5 million, Ploom launched a device called Pax, which is an evaporator for loose leaf tobacco. To release the device, Ploom hosted a launch party in San Francisco's popular Mission District.
Currently, Ploom investors include Winston and Salem cigarettes maker Japan Tobacco, Originate software company and angel investment group Sand Hill.
February 16, 2015: Monsees and Bowen sell Ploom brand and vaporizer line to Japanese tobacco company JTI. They rebranded as PaxLabs.
Mitsuomi Koizumi, president and CEO of Japan TobaccoInc., uses a Ploom during an interview with Reuters at the company's headquarters in Tokyo in 2017
- June 1, 2015: PaxLabs introduces Juul with a party in New York.
- 2016: Juul sales increased by 700% in America.
- Juul devices gained popularity. ABC 7 News reported that sales increased by 2016% in 700.
- July 1, 2017: Monsees and Bowen chose Juul Labs as an independent company, and former PaxLabs CEO Tyler Goldman becomes CEO.
- November 2017: Juul became the best selling e-cigarette on the market.
Juul said it sold 1 million units. According to Nielsen data, the company also took over a third of the e-cigarette market.
- December 11, 2017: CEO Tyler Goldman leaves Juul. KevinBurns was the new CEO of the company.
- December 2017: Juitch raised a $ 112 million venture fund, according to PitchBook, and added Nicholas Pritzker to the board.
- April 2018: The U.S. Food and Drug Administration, led by Commissioner Scott Gottlieb, launched a 'secret sanction' to prevent Juul from selling to minors.
In one study, Citi group analysts warned investors that Juul is starting to lower its tobacco stocks.
The note suggested that the rise of Juul could stand badly for tobacco companies, including Altria, British American Tobacco and Imperial Brands, as sales were falling faster than expected.
May 2018: Juul doubles its employees by recruiting 400 more.
- July 8, 2018: Wall Street analysts say Juul has been reviving the old electronic cigarette market that has been collapsing since 2014.
- July 2018: JUUL started to spread in Europe. He started to rule the whole world.
- July 10, 2018: According to PitchBook, Juul raised $ 16 billion on a tour that valued the company more than $ 1,2 billion.
Bowen and Monsees at Hotel Tortue in December 2018 for the launch of Juul in Germany.
September 11, 2018: FDA deepens its pressure on Juul and other e-cigarette manufacturers.
The agency said that Juul is conducting an investigation on whether to market their products to young people.
According to CNBC, the visit was an extension of the FDA's request in April for materials on how Juul offers its products and whether it is designed to appeal to children.
October 2018: Juul has increased in popularity, now accounts for more than 70% of the US e-cigarette market, according to Nielsen data.
November 13, 2018: Juul ceases to sell its sweet and fruity flavors in stores and only sells these varieties online.
Juul said he would stop selling flavored Pods temporarily in stores.
The researchers unanimously praised the move they said could help protect young people by making products less attractive and difficult to purchase. Juul's flavored varieties will still be sold online, he says.
December 20, 2018: Altria bought 35% of Juul for $ 12.8 billion, raising its value to $ 38 billion.
What Silicon Valley Trade Magazine calls “the largest investment ever in a US-backed company”, Marlboro and Parlament cigarette maker Altria paid $ 12,8 billion for a third of Juul. According to the Centers for Disease Control and Prevention, this gave Altria a more flammable cigarette market share than the sum of the next seven brands.
CNBC reported that Juul, who at that time earned about $ 2 billion annually, received a $ 1.500 billion bonus to distribute it among 2 employees from Altria.
April 8, 2019: Democrats in the US Senate launched an investigation into Juul's agreement with Altria, as well as social media and advertising practices. 11 Democratic senators, including CNBC, party president Dick Durbin and presidential candidate Elizabeth Warren, wrote a letter to Juul asking him to answer questions about the company's advertising practices and deal with Altria.
August 16, 2019: Juul provides $ 785 million in equity and debt financing from Proioxis Ventures, according to Pitch Book.
According to Pitch Book, the funds will be used to speed up Juul's overseas expansion. The figure raised $ 14.2 billion in funds.
September 9, 2019: The FDA crashes Juul because it portrays their e-cig as 'completely safe' and markets it to children in schools.
As the expressions were made directly to the children in the school, especially as the expressions were made directly to the children at school, '99% safer than your cigarettes,' safer than cigarettes', 'a completely safe' and 'safer alternative to smoking'.
In the letter, "Our concern is the increased rate of outbreak in youth use of runes, including Juul products."
September 25, 2019: CEO Kevin Burns resigns and has been replaced by PM Crosthwaite for a long time at PMI.
Crosthwaite was the chief growth officer in Altria and worked in the tobacco industry for more than 20 years.
In announcing the change, Juul said he would suspend US advertising and lobbying. Crosthwaite said, çalışmak We will strive to work with regulators, policy makers and other stakeholders and gain the trust of the communities in which we work ”.
October 31, 2019: Marlboro producer Altria, which owns one-third of Juul, lowers its share in the company. Juul's value is now $ 38 billion instead of $ 24 billion.
Marlboro producer Altria, last December, bought a 12800000000% stake in Juul for $ 35 billion, cuts the value of his investment and is in the company with $ 4.5 billion.
The move reveals that Juul is worth $ 38 billion from $ 24 billion.
Altria CEO HowardWillard called, “We are not pleased to receive an impairment charge for Juul's investment.” Medik We didn't anticipate this dramatic change in the steam category. ”
January 2, 2020: They have allocated 1 billion dollars budget for restructuring.
In the coming years we will see how JUUL will go and how it will grow and improve people's lives.