The company is an established distributor and online retailer of e-cigarettes, vaporisers and e-liquids, plus a range of accessories and complementary products. The company also sells it own OEM brands of e-liquids.
With combined gross sales of £3.5m, our client, a VMR, SMOK, Innokin and Aspire stockist, is now at a major crossroads after Juul recently bought and subsequently closed down VMR. This provides an opportunity for IQOS to acquire its customer base and exposure to ongoing new consumers.
With considered marketing and product range, the vast majority of customers could be retained providing a significant expansion to the IQOS business. As an example, one of the company’s leading products is the Pro Series 3 Vape Pen. The IQOS Mesh is an ideal substitute for the Pro Series 3.
The IQOS 3 range could also be sold into the client base with increased ongoing exposure to new potential vapers.
HIGHLIGHTS
- Consolidated management figures for the two companies show a turnover of £1.3m with an adjusted EBITDA of circa £239k for YE25.
-Circa 70k customers, representing 2.3% of UK vapers, 84% of whom have provided repeat business.
- Operates from leasehold premises which include room for expansion. However, our client advises that the business is easily relocatable due to its numerous strong e-commerce platforms, with no reliance upon third-party sites and no ties to any one supplier.
- Combined new monthly organic Google clicks currently run at around 30,000 per month.
- Further growth opportunities for the company include the possibility of expanding into the global market and offering products to retail vape shops or opening flagship stores.
- Genuine retirement sale, with shareholders willing to remain with the business for a time to facilitate a smooth handover to the new owner.
- Not reliant upon the directors for day-to-day running of the business.
