CALGARY, Sept. 9, 2019 /CNW/ - Target Capital
Inc. ("Target") (TSXV/CSE:TCI) is pleased to announce
that it has closed a strategic investment into Intev Technologies,
LLC ("Intev"), a Brooklyn, New
York based hardware technology company and the maker of
Zepto, the first credit card sized vaporizer.
Intev has three operating divisions: (i) a Research &
Development division for new innovations, intellectual property and
proprietary heating technologies; (ii) a Consumer Electronic
Division focused on ancillary devices designed for the
cannabis industry; and (iii) a Consumer Products Division focused
on premium and disposable electronic cigarettes and e-liquid
products.
Intev's debut consumer product is the Zepto vaporizer, a
patented, luxury, sleek personal vaporizer device designed to fit
seamlessly into people's everyday lives. It boasts ground breaking
features, including wireless recharging and smart button
technology, giving the user superior control of the device. Its
modular design is adaptable for use with other manufacturers'
e-liquid pods, establishing it as an industry leader in market
adoption, resiliency, portability and consumer convenience.
Interested parties can learn more at www.zeptovape.com.
According to Grand View Research, a global market research and
consulting company, the global e-cigarette and vaping market size
is projected to reach US$47.11
billion by 2025, expanding at a compounded annual growth
rate ("CAGR") of 23.8% during the forecast period. Burgeoning
popularity of these products amongst users is expected to drive the
market over the forecast period. The modular device category
within the vaping market is expected to be the fastest growing
segment, rising at a CAGR of 24.9% over the forecast
period. Modular devices allow their users to adjust vapor
output according to their preference. E-liquid is expected to
exhibit a CAGR of 26.7%.
Pursuant to the investment agreement with Intev,
Target purchased US$300,000 of
7.0% senior secured convertible debentures of Intev (the
"Debentures"). The Debentures mature on September 9, 2021 and, on Target's election, are
convertible into common shares of Intev. At any time prior to the
maturity date, Target has the right to initiate a go-public
transaction, pursuant to which Intev would be listed on a
recognized Canadian stock exchange by way of an initial public
offering, plan of arrangement, amalgamation reverse take-over or
other form of business combination, all in accordance with the
terms of the investment agreement.
Proceeds from Target's strategic investment will be used by
Intev to continue to advance products through its development
pipeline to commercial sales, broaden its distribution network as
well as increase its marketing and sales budget for the Zepto
product.
About Target Capital
Target is a Calgary,
Alberta based company executing on a cannabis focused
investment strategy, where it intends to develop and manage a
diversified portfolio of predominantly early stage cannabis
investment opportunities. Target's common shares are listed on the
TSX Venture Exchange and the Canadian Securities Exchange under the
trading symbol "TCI".
Forward-Looking and
Cautionary Statements
This news release contains forward-looking statements and
forward-looking information within the meaning of applicable
securities laws. The use of any of the words "expect",
"anticipate", "continue", "estimate", "objective", "ongoing",
"may", "will", "project", "should", "believe", "plans", "intends"
and similar expressions are intended to identify forward-looking
information or statements. More particularly, and without
limitation, this news release contains forward looking statements
and information concerning the corporate strategy of Target and the
Debentures, including the terms and the anticipated benefits of
thereof. In addition, statements relating to Intev's brands,
products, business, strategies, expectations, planned operations or
future actions, including a go-public transaction involving Intev,
the performance of Intev's business and operations, the competitive
conditions of the industry in which Intev operates and the
competitive advantages of Intev and Intev's future product
offerings are deemed to be forward-looking statements as they
involve the implied assessment, based on certain estimates and
assumptions. The forward-looking statements and information are
based on certain key expectations and assumptions made by Target,
including expectations and assumptions concerning Intev, the
Debentures, stock exchange and regulatory approvals and the
satisfaction of the terms and conditions of the investment
agreement. Although Target believes that the expectations and
assumptions on which such forward-looking statements and
information are based are reasonable, undue reliance should not be
placed on the forward looking statements and information because
Target can give no assurance that they will prove to be
correct. By its nature, such forward-looking information is subject
to various risks and uncertainties, which could cause the actual
results and expectations to differ materially from the anticipated
results or expectations expressed. Without limitation, these risks
and uncertainties include: the parties being unable to obtain the
required stock exchange and regulatory approvals; the possibility
that licenses to use certain brands or trademarks will be
terminated, challenged or restricted; failure to maintain consumer
brand recognition and loyalty of customers; substantial and
increasing U.S. and Canadian regulation and uncertainty related to
the regulation and taxation of vaporizer products; reliance on
relationships with wholesalers and retailers for distribution of
products and failure to maintain strategic business relationships,
including brand partnerships; intense competition, including from
illicit sources; uncertainty and continued evolution of markets;
product liability litigation; the scientific community's lack of
information regarding the long-term health effects of electronic
cigarettes, vaporizers and e-liquids; reliance on information
technology; infringement on intellectual property; failure to
benefit from partnerships or successfully integrate acquisitions;
exchange rate fluctuations; adverse U.S., Canadian and global
economic conditions; sensitivity of end-customers to increased
sales taxes and economic conditions; failure to comply with certain
regulations; departure of key management personnel or inability to
attract and retain talent; risks associated with the e-cigarette,
vaporizer and e-liquid industry in general; actions and initiatives
of federal, state and provincial governments and changes to
government actions, initiatives and policies and the execution and
impact thereof; import/export and research restriction; and the
size of the global e-cigarette and vaping market.
Target undertakes no obligation to update publicly or revise
any forward-looking information, whether as a result of new
information, future events or otherwise, except as required by
law.
Certain information contained herein has been obtained from
published sources prepared by independent industry analysts and
third party sources (including industry publications, surveys and
forecasts). While such information is believed to be reliable for
the purpose used herein, Target does not assume any responsibility
for the accuracy of such information. Some of the sources cited in
this news release have not consented to the inclusion of any data
from their reports, nor has Target sought their consent.
Neither the TSX
Venture Exchange nor its
Regulation Services Provider
(as that term is
defined in
the policies of
the TSX Venture Exchange) accepts responsibility
for the adequacy or
accuracy of this
news release.
View original
content:http://www.prnewswire.com/news-releases/target-capital-announces-strategic-investment-in-intev-technologies-and-entry-into-the-e-cigarette-vaporizer-and-e-liquid-global-market-300914528.html
SOURCE Target Capital Inc.