Setti Coscarella, CEO of TAAT Global Alternatives joins us to talk about their nicotine-free cigarettes and aggressive marketing plans. Sid Rajeev, Head of Research at FRC, will share his thoughts on the rapidly growing market for cigarette alternatives.

Company overview

• TAAT is a producer of hemp-cigarettes focused on providing a nicotine-free and tobacco-free alternative to traditional cigarettes.

• The company launched its product in December 2020 and has been ramping up production ever since. In April, TAAT received a $1.25M order from one of its distributors.

The company continues to market aggressively. Marketing expenses increased 192% QoQ to $2.9M in Q2. Management has not disclosed its marketing budget for this year. We are expecting a 15% increase in Q3. Healthy cash position of $14.2M, and zero debt, at the end of Q2.