(Nasdaq: XXII) 22nd Century Announces New Branded Products Order with Customer for Southeast Asia

(Nasdaq: XXII) [22nd Century Announces New Branded Products Order with Customer for Southeast Asia]( FDR Member, [22nd Century Announces New Branded Products Order with Customer for Southeast Asia]( New Customer for 22nd Century's Internally Owned Moonlight Brand Could Increase Factory Volumes by More Than 30% When Fully Scaled, Improve Gross Profit Profile Mocksville, North Carolina--(Newsfile Corp. - September 23, 2024) - 22nd Century Group, Inc. (NASDAQ: XXII), a tobacco products company that is leading the fight against nicotine and believes smokers should have a choice about their nicotine consumption, today announced a new customer agreement to supply its Moonlight branded cigarettes to the Southeast Asia marketplace. The first shipment is expected in the fourth quarter of 2024, with the opportunity to significantly expand volumes as the customer launches in key markets throughout 2025. "This new customer represents an exciting opportunity to deploy one of our underutilized in-house brand assets to drive new growth opportunities, expanding our presence in a market with a widespread smoking culture in Southeast Asia," said Larry Firestone, Chairman and CEO. "At scale, we believe this contract represents an opportunity to grow our manufacturing volumes by more than 30% over the next 15 months." "We have additional brands and assets that we can deploy into these or other markets in the U.S. and around the world," added Firestone. "We are currently discussing similar opportunities with customers interested in deploying those brands and predicates, as well as customers interested in offering a reduced nicotine content product under their own branding, helping us to build a new category around our innovative VLN® products." 22nd Century owns a number of brands which among others include Pinnacle, Moonlight, Magic and Ranger, in addition to its VLN® 95% reduced nicotine content branded cigarettes, the only combustible cigarette authorized by the U.S. Food and Drug Administration specifically designed to reduce smoking rates. The Company recently announced the launch of its VLN® branded products into the South Korean market, and expansion strategy in the U.S., which is expected to include flanker brands for additional reduced nicotine content products intended to help adult smokers to smoke less. We've never shied away from introducing companies that do things differently from their competitor herd. In fact, we embrace those innovators, especially when they present compelling investment opportunities. Our featured FDR Alert this morning checks both those boxes. And in an industry with billions in revenue dollars up for grabs, this current $0.25 stock may be presenting a value proposition that's too attractive to ignore. Many investors aren't ignoring this game-changer. They sent 22nd Century Group (NASDAQ: XXII) stock soaring over 85% intraday earlier this month on massive volume exceeding 184 million shares. To put that in perspective, the average volume on most of its trading days is less than one million shares. We didn't see anything specific to draw that interest. However, cumulatively, XXII has been providing investors plenty to get excited about. Most importantly, its updates to the markets deliver a great message. And for smokers especially, with XXII telling them they don't need to quit smoking altogether but instead take control of their nicotine intake and make healthier choices.  That might sound simpler than it is to do. Make no mistake, monetizing this sector is a challenge in 2024. XXII knows this. Rather than fight that trend, they've done something better by developing a product line that gives choices back to the consumer and, at the same time, pioneers a movement that is reshaping the tobacco industry. Now, XXII isn't saying that all of a sudden, nicotine is good. Far from it. But they are serving up a product option, its innovative VLN® (Very Low Nicotine) cigarettes, that can do more than appease those wanting nicotine- they're developing a whole new category that could also serve investor appetites craving innovative and revolutionary growth stock companies.  A game-changer in the reduced harm landscape...  Its innovative VLN® cigarettes empower smokers to reduce nicotine consumption without sacrificing the smoking experience they know. That difference is a competitive advantage. And it's not just another nicotine delivery system; it's giving smokers the ability to make informed decisions about their nicotine intake. The value driver in its mission to create market and shareholder value is the FDA-approved VLN® cigarette, which contains 95% less nicotine than traditional cigarettes.  Here's the more important consideration from an investor perspective- XXII's VLN® cigarette is uniquely positioned as the only combustible cigarette authorized to be marketed as a Modified Risk Tobacco Product, carrying the powerful message that it "Helps You Smoke Less®."  Members, many companies claim to have a game-changing product. This one truly is and targets a consumer who doesn't want to lose a good thing but instead manages it. That's precisely what XXII's product allows- continued smoking while reducing their nicotine dependence.  Positioned to develop a new product category...  Think of XXII's product in the way "light beer" revolutionized the alcohol market. It offered consumers a lower-calorie alternative that allowed them to enjoy beer with fewer consequences. "Decaf coffee" is another example. That product created a new segment for those who love the taste of coffee but want to limit caffeine intake. In the same way, VLN® cigarettes have the potential to create a sub-category within the tobacco industry—one that acknowledges the reality of smoking while offering a less addictive, more controlled alternative. More directly, 22nd Century Group may be paving the way for a new standard in smoking that reflects progress, not replacement. If successful, this sub-dollar company could be behind a shift that could disrupt the entire tobacco landscape.  That mission is in progress, evidenced by XXII's vision translating to real market traction. According to updates, sales of VLN® have exceeded expectations in many of the test markets established in 2023, leading XXII to expand its sales and marketing operations. Currently, VLN® is available in over 5,000 stores across 26 states, but that's just the beginning.  22nd Century has announced ambitious plans to extend distribution to over 270,000 retail outlets nationwide. And no stopping there. International expansion is also on its agenda, with established partnerships in markets like South Korea, where the demand for harm-reduction products is growing. And the infrastructure for growth is in place. XXII's supply chain includes a stockpile of low-nicotine tobacco ready to meet demand and has the additional capacity to manufacture up to 1.4 million cartons of VLN® cigarettes—enough to generate up to $85 million in revenue. In other words, XXII isn't just poised for success; they have the infrastructure in place to meet the increasing consumer demand for their products.  Expanding SKUs like Coke did with Diet and Beer with Light...  Here's where the story and investment proposition gets even better. 22nd Century has the potential to build an entire portfolio around the VLN® brand, similar to how brands like Coca-Cola have extended their lines with products like Diet Coke or how Heineken introduced a zero-alcohol version to complement its traditional beer. And XXII isn't wasting time proving that point.  The company is already planning to launch "flanker" brands of VLN® cigarettes. Developed in collaboration with private label customers, these products will further drive the harm reduction message and diversify their offerings. This initiative can be instrumental in ensuring that VLN® doesn't just remain a niche product but becomes a central player in a new smoking category that caters to a broad range of consumer preferences.  It's fair to ask how VLN® compares to other harm-reduction products. After all, competing with Vapes and other alternative nicotine delivery systems might dampen revenue prospects. The excellent news there- VLN® cigarettes are in a class of their own and stand in stark contrast to traditional tobacco products and many alternatives. It actually offers a distinct proposition for smokers. Specifically, 95% less nicotine without sacrificing the familiar experience of smoking. Unlike conventional cigarettes, which are designed to deliver addictive levels of nicotine, VLN® provides a significantly reduced nicotine content while maintaining the taste and burn profile many smokers crave.  This allows smokers to engage in the act of smoking while significantly reducing their nicotine intake, which has been shown to lead to less addiction and, for many, a pathway to smoking fewer cigarettes over time. This product's appeal gets better. Compared to other harm reduction products such as e-cigarettes or nicotine replacement therapies (NRTs) like patches or gum, VLN® takes a unique approach. For instance, E-cigarettes and NRTs focus on replacing the nicotine source, either by delivering it in a non-combustible form or helping users taper off by providing controlled doses of nicotine. While effective for some, these products often fail to replicate the full sensory experience of smoking—a key reason why many smokers resist switching. VLN® cigarettes, however, replicate the smoking experience in full, from the initial touch and feel sensation to the inhalation process, but without the intense hit of nicotine that fosters dependency.  A true market-leading disruptor...  In other words, VLN® may be best compared to disruptive products in different industries that offer consumers a "middle ground." As noted earlier, XXII's product can be compared to category innovators like decaf coffee, which provides the rich taste of coffee without the stimulating effects of caffeine, and light beer, which often provides the full-bodied flavor of beer with fewer calories. Similarly, VLN® allows smokers to continue their habits but with a significant reduction in nicotine intake—giving them control over their smoking in a way that neither quitting nor continuing to smoke traditional cigarettes can.  Members, all of the above contribute to an evidence-based case for why XXII needs to be considered for a growth stock portfolio. But here's one of the biggest reasons to take imminent action. The FDA has designated VLN® as a Modified Risk Tobacco Product (MRTP), which underscores the product's potential. This designation, the first of its kind for a combustible cigarette, permits VLN® to be marketed as a cigarette that "Helps You Smoke Less®," signaling official recognition of its harm reduction potential. This sets VLN® apart from not only traditional cigarettes but also most other alternatives, which do not carry this specific type of FDA endorsement.  That makes this innovative product a potential blockbuster in the markets. Remember, XXII's VLN® cigarettes don't deprive smokers of satisfaction. Instead, they allow smokers to enjoy a smoking routine with the added benefit of significantly reduced nicotine exposure. That delivers more than a win-win proposition—it also fills a gap in the harm-reduction nicotine market ripe for the taking. And that's exactly what XXII is in the process of doing. With its VLN® a trailblazer in the space, similar to early category creators in other industries that changed consumer behavior by meeting them where they are, not where companies wanted them to be, this company is destined to be a winner. Early investors, both short and long-term-minded, especially at these levels, may be as well. To Your Trading Success, Michael Reece Editor, Financial Driven Research  Sources: [( [( [( [( [( [( [( [( [( [www.stocktitan.net/news/XXII/22nd-century-updates-strategic-growth-initiatives-for-h5vt2iq9hh35.html#:~:text=22nd%20Century%20Group%20plans%20to,their%2095%25%20less%20nicotine%20tobacco.](  © 2024 Financial Driven Research, All Rights Reserved. Financial Driven Research (“FDR” or “Company”) is a financial publisher that does not offer any personal financial advice or advocate the purchase or sale of any security or inves∙tment for any specific individual. FDR full disclosure is to be read and fully understood before using FDR website or joining FDR email or sms list. By viewing FDR website and/or reading FDR email or sms list you are agreeing to FDR full disclosure This publication may contain information regarding inves∙tment ideas and third-party ratings regarding specific securities. We hold n∙o inves∙tment licenses and are thus neither licensed nor qualified to provide inves∙tment adv∙ice. FDR nor its principals are not FINRA-registered broker-dealers or inves∙tment advisers. The content of this email should not be taken as advice, an endorsement, or a recommendation from FDR to buy or sell any security. Always be extremely careful and consult a licensed inves∙tment professional before making any inves∙tment decision as inves∙ting in securities carries a high degree of risk; you may likely lose some or all of the inves∙tment. This communication is a sponsored advertisement. FDR and/or its subsidiaries and/or affiliates has not been compensated to disseminate this communication. Please note we do not hold positions in stocks we profile. We do not trade in any of our sponsored advertisements, or non-sponsored profiles. We do not accept stock as a form of payment for our sponsored advertisements. Please review the full disc∙laimer at [Disc]( and Disclosure Policy]( for important information regarding this sponsored advertisement. © 2023 FDR. All rights reserved., 1014 W 36th St, Baltimore, MD 21211, United States You may [unsubscribe]( or [change your contact details]( at any time. Powered by:[GetResponse](