TAAT™ Finalizes Leases for Two New Nevada Facilities, Increasing Total Space by Over 250% for R&D, Manufacturing, and Operations
LAS VEGAS and VANCOUVER, APRIL 30, 2021 – TAAT™ GLOBAL ALTERNATIVES INC. (CSE: TAAT) (OTCQX: TOBAF) (FRANKFURT: 2TP2) (the “Company” or “TAAT™”) is pleased to announce that it has entered into two lease agreements for facilities in the Las Vegas, Nevada area in the Hughes Airport Center business park near McCarran International Airport with a combined 28,483 square feet / 2,646 square metres to be used for purposes to include research and development, manufacturing, warehousing, distribution management, and office space for executives, operational staff, and conferences. As the Company begins to scale its market presence in 2021 following the recent announcement of a CAD $149,000 purchase order intended for distribution in the United Kingdom and Ireland, as well as sustained operations in Ohio and online across the United States through e-commerce, TAAT™ is proactively assembling an expanded corporate infrastructure to facilitate anticipated growth.
The Hughes Airport Center is owned by BKM Capital Partners of Newport Beach, California, and consists of nearly 671,000 square feet / 62,338 square metres of office and industrial space with over 40 tenants. The business park is strategically located in close proximity to the Las Vegas strip, the eighth-busiest airport in the United States, and Interstate highways 15 and 215. TAAT™ will occupy the spaces located at 600 Pilot Road (8,464 square feet / 786 square metres) and 823 Pilot Road (20,019 square feet / 1,860 square metres) which will be primarily used for office and manufacturing/warehousing space, respectively. The Company will maintain its current facility nearby at 4730 West Post Road (8,000 square feet / 743 square metres), moving its executive offices to the 600 Pilot Road facility and adapting its current facility to a combination of warehouse space and offices.
More information about the Hughes Airport Center can be found on BKM Capital Partners’ website: https://www.bkmcapitalpartners.com/hughes-airport-center
The Company believes that with these facilities at its disposal, it will be better positioned to work towards several of its long-term business objectives. Provisional uses of the space in these facilities are detailed below.
Research and Development
For any future iterations of TAAT™ and Beyond Tobacco™ as well as additional products the Company may later develop (e.g., base material formulations tailored to specific jurisdictions or markets), internal laboratories dedicated to this purpose could accelerate the Company’s ability to innovate and remain competitive as it continues to work towards building market share in the USD $814 billion global tobacco industry.
In-House Manufacturing
The Company presently manufactures its Beyond Tobacco™ base material in-house at its current facility using a 14-step process including a patent-pending refinement technique to create a tobacco-like taste and smell. As of this writing, the Company can produce enough base material for approximately 680,000 ten-pack cartons of TAAT™ per year, however with this 250% increase in available space this production capacity could be significantly expanded.
Contact Centre and Customer Experience Management
As the TAAT™ customer base continues to grow, between smokers aged 21+ who purchase the product directly from the Company and wholesalers who distribute TAAT™ on the Company’s behalf, the need for an efficient and centralized business unit to act as a point of contact is emerging. The Company intends to establish an internal contact centre for all categories of current and prospective customers, with ancillary divisions to manage various facets of the customer experience under direct oversight of the Company’s management.
Global Distribution Support
With an objective of making a robust supply of TAAT™ available in all global markets at any given time, the Company plans to form an internal division in one of its new facilities for global distribution support which would monitor distribution channels, prioritize shipment dispatching, gather market and supply chain intelligence, and work directly with warehouse personnel to optimize distribution operations.
New Operational Divisions
The Company intends to hire internal personnel in its new facilities for new operational divisions which could include sales, marketing, digital content production, social media, event management, and legal. Conference and meeting spaces would also be allocated to enable collaboration between these divisions, as well as for hosting meetings with clients, vendors, and service providers.
The Hughes Airport Center in Las Vegas, Nevada is strategically located relative to McCarran International Airport, two major Interstate highways, and the Las Vegas Strip. The Company’s two facilities in this business park will be among facilities operated by several well-known corporations. Between office, operational, and manufacturing/warehouse spaces, the Company anticipates that its leases on these facilities could play a key role in its ability to scale the market presence of its flagship product TAAT™.
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TAAT™ Founder Joe Deighan commented, “TAAT™ has come a long way from when we first opened our 4730 West Post Road facility which housed virtually all of our operations. Between finalizing the product, launching it in the United States in Q4 2020, and receiving our first international purchase order earlier this week, we foresee that this facility will soon reach its capacity. As such, we are of the opinion that the Company needs more space in which to operate so that we can make bigger strides in our endeavours to further build our market share in the USD $814 billion global tobacco industry. After working with a Las Vegas commercial real estate agent for several weeks, we are thrilled to have scored two spaces in a premium business park such as the Hughes Airport Center, and I am excited to share our upcoming developments as we begin to operate in these facilities to make 2021 a pivotal year for TAAT™, in which we will be equipped to meet potentially greater demand.”
On behalf of the Board of Directors of the Company,
TAAT™ GLOBAL ALTERNATIVES INC.
“Setti Coscarella”
Setti Coscarella, CEO and Director
For further information, please contact:
TAAT™ Investor Relations
1-833-TAAT-USA (1-833-822-8872)
THE CANADIAN SECURITIES EXCHANGE (“CSE”) HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS RELEASE, NOR HAS OR DOES THE CSE’S REGULATION SERVICES PROVIDER.
About TAAT™ Global Alternatives Inc.
The Company has developed TAAT™, which is a tobacco-free and nicotine-free alternative to traditional cigarettes offered in “Original”, “Smooth”, and “Menthol” varieties. TAAT™’s base material is Beyond Tobacco™, a proprietary blend which undergoes a patent-pending refinement technique causing its scent and taste to resemble tobacco. Under executive leadership with “Big Tobacco” pedigree, TAAT™ was launched first in the United States in Q4 2020 as the Company seeks to position itself in the $814 billion1 global tobacco industry.
For more information, please visit https://taatglobal.com.
References
1 British American Tobacco – The Global Market
Forward-Looking Statements
This news release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Often, but not always, forward-looking information and information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur, or be achieved. Forward-looking information in this news release includes statements regarding the anticipated performance of TAAT™ in the tobacco industry, in addition to the following: Potential outcomes from the Company’s lease agreements for the facilities located at 600 Pilot Road and 823 Pilot Road in Las Vegas, Nevada, including potential operational expansions as described in this press release. The forward-looking information reflects management’s current expectations based on information currently available and are subject to a number of risks and uncertainties that may cause outcomes to differ materially from those discussed in the forward-looking information. Although the Company believes that the assumptions and factors used in preparing the forward-looking information are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed timeframes or at all. Factors that could cause actual results or events to differ materially from current expectations include: (i) adverse market conditions; (ii) changes to the growth and size of the tobacco markets; and (iii) other factors beyond the control of the Company. The Company operates in a rapidly evolving environment. New risk factors emerge from time to time, and it is impossible for the Company’s management to predict all risk factors, nor can the Company assess the impact of all factors on Company’s business or the extent to which any factor, or combination of factors, may cause actual results to differ from those contained in any forward-looking information. The forward-looking information included in this news release are made as of the date of this news release and the Company expressly disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable law.
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