A WSJ article this week highlighted **a major FDA policy shift** that may have changed the economics of the vape industry and **made CHUC a VERY likely buyout candidate**.
After 5 years, the FDA finally said that companies can now market new vape products while their PMTAs are under FDA review.
And Charlie’s Holdings CHUC has 678 of them.
Now here's the part that gets interesting:
If Reynolds was willing to pay up to **$1 million+ per PMTA-covered product** **BEFORE APPROVAL, and CHUC has 678 left…**
Not saying an acquisition happens.
But between:
FDA's new PMTA policy (letting PMTAs sell)
GLAS flavored vape with age gating GETS FDA approval **FOR THE 1st TIME**
Reynolds' history of buying CHUC PMTA assets **BEFORE APPROVAL**
CHUC's **upcoming age-gated flavored disposable launch**
Insiders and founders have been buying a TRUCKLOAD of shares over the last few months.
Obviously, you can't simply multiply 678 PMTAs by $1 million and **say the company is worth $678M…it should be worth A LOT MORE** when the FDA changed the PMTA commercialization rules.
The real question is:
**Did the FDA just make CHUC, with one of the largest PMTA portfolios, one of the most attractive buyout targets for Big Tobacco?**
