Manchester electronic cigarette maker sold in deal worth $50 million

Manchester-headquartered electronic cigarette manufacturer VIP has been acquired by North American firm Victory Electronic Cigarettes Corporation, in a deal worth more than $50 million.

VIP was launched in 2009 by co-founders Miguel Corral and David Levin.

Over the past four years they built VIP into one of the most profitable and well-run electronic cigarette companies across Europe, with a leading presence in the England and a number one market position in Ireland.

Brent Willis, chairman and CEO of Victory, and former senior executive at AB InBev and Coca-Cola commented: “VIP® is a high potential franchise with an outstanding leadership team that will each be taking on broader global roles in the combined enterprise.

“Of all the electronic cigarette companies, VIP was the most profitable company as a percentage of sales of any ecig firm we have seen worldwide. Their product portfolio, premium brand, and distribution approaches have global potential and we intend to heavily invest in expanding their distribution model and product portfolio.”

The Corporate Finance team at the Manchester office of international accountancy firm Mazars advised VIP on the deal.

Dave Hilton, corporate finance director at Mazars, said: “It has been great working with the shareholders of VIP in helping them to achieve the right value and the right home for the business to deliver their future growth strategy.”