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Vaping brand Ispire Technology files and sets terms for a $42 million IPO

January 31, 2023

Ispire Technology, a US-based e-cigarette and cannabis vaping product brand, filed on Tuesday with the SEC to raise up to $42 million in an initial public offering.

The Los Angeles, CA-based company plans to raise $42 million by offering 6 million shares at a price range of $6 to $8. At the midpoint of the proposed range, Ispire Technology would command a market value of $392 million.

Selling shareholders have concurrently registered 1.75 million shares separate from the underwritten offering, which may be offered and sold from time to time.

Ispire was formed in June 2022 to acquire the cannabis and certain tobacco vaping businesses of Chinese vaping brand Aspire Global (ASPG) and its subsidiaries. Aspire attempted to go public at a $1.3 billion valuation in 2021 but was unable to price, and it withdrew the offering this past May.

Ispire sells its tobacco products worldwide, excluding China and Russia, and markets them under the Aspire brand name. It has ceased marketing tobacco vaping products in the US, stating that sales did not justify marketing and regulatory costs. Ispire's products are currently manufactured and supplied by Shenzhen Yi Jia Technology, a Chinese company majority owned by founder and CEO Tuanfang Liu, though the company plans to use a portion of IPO proceeds to build out manufacturing operations in Vietnam and California.

Ispire Technology traces its roots to 2010 and booked $100 million in sales for the 12 months ended December 31, 2022. It plans to list on the Nasdaq under the symbol ISPR. Tiger Brokers, TFI Securities, and SPDB International are the joint bookrunners on the deal.