DAVIE, Fla., Sept. 16, 2014 (GLOBE NEWSWIRE) -- Vapor Group, Inc. (OTCQB:VPOR), (the "Company"), announced today that as a result of rapidly escalating sales of its products, the Company will begin paying down a portion of the over $1 million in 8% senior convertible promissory notes held by Hanover Holdings I, LLC, ("Hanover") per the private placement between them and the Company (the "Private Placement") filed on Form 8-K with the Securities and Exchange Commission ("SEC") on May 6, 2014 (the "SEC filing").
CEO Dror Svorai said, "We entered into the Private Placement on April 29, 2014 with Hanover because we seriously needed to finance the manufacture of more products to meet demand that was outstripping our ability to delivery on time. The Private Placement allowed us to do just that, and it is now enabling us to use some of the incremental margin that it has generated to pay down the debt of the Private Placement." He added, "As announced and in our SEC filing the conversion of any part of this debt cannot occur until October 29, 2014. We are delighted to be able to announce the pay down of some of this debt before October 29th which is earlier than we planned. Any reduction in debt that we can achieve can only help the long term value of our stock."
About the Vapor Group
Vapor Group, Inc., http://www.vaporgroup.com/, is in the business of designing, developing, manufacturing and marketing high quality, vaporizers and e-cigarette brands which use state-of-the-art electronic technology and specially formulated, "Made in the USA" e-liquids, which may or may not contain nicotine. It offers a range of products with unique e-liquid flavors that is unmatched in our industry. Its products are marketed under the Vapor Group, Total Vapor, Vapor 123 and Vapor Products brands. It sells nationwide through distributors, wholesalers and directly to consumers through its own websites and direct response advertising.
All of its E-cigarettes consist of a long-life battery, a heating element, a cartridge filled with an "e-liquid" and an atomizer which when heated vaporizes the e-liquid. Because E-cigarettes are not "lit" like regular cigarettes, they don't create flame, smoke from burning, ash, tar, noxious fumes or leftover "cigarette butts". As a result, they may be used virtually anywhere.
Vapor Group is committed to providing E-cigarettes that are convenient and economical to use, safer and healthier than traditional smoking, and which provide a flavorful, enjoyable smoking experience.
Vapor Group, Inc. is managed by a highly experienced team of executives committed to responsible business policies and practices, including the marketing of our products only to those eighteen years of age or older, not making or avoiding claims about our product health benefits, and fulfilling the requirements of all applicable laws and regulations.
Safe Harbor Statement:
This release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. Certain statements set forth in this press release constitute "forward-looking statements." Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate, or imply future results, performance or achievements, and may contain the words "estimate", "project", "intend", "forecast", "anticipate", "plan", "planning", "expect", "believe", "will likely", "should", "could", "would", "may" or words or expressions of similar meaning. Such statements are not guarantees of future performance and are subject to risks and uncertainties that could cause the company's actual results and financial position to differ materially from those included within the forward-looking statements. Forward-looking statements involve risks and uncertainties, including those relating to the Company's ability to grow its business. Actual results may differ materially from the results predicted and reported results should not be considered as an indication of future performance. The potential risks and uncertainties include, among others, the Company's limited operating history, the limited financial resources, domestic or global economic conditions -- activities of competitors and the presence of new or additional competition and conditions of equity markets.