BELLEVUE, Wash., May 30, 2014 (GLOBE NEWSWIRE) -- mCig, Inc. (OTCQB:MCIG) is pleased to provide its investors with an update on the status of the VitaCig, Inc. subsidiary spinoff and pro-rata dividend.
On April 21, 2014, VitaCig, Inc. (an mCig, Inc. subsidiary) filed for an IPO (Initial Public Offering) with the Securities and Exchange Commission (SEC) under form S-1. The form in its entirety can be viewed on the SEC website by visiting this url:
Form S-1 is a disclosure document that registers shares for resale with the SEC. Once an S-1 is declared effective by the SEC, every share registered becomes freely tradable and the company filing the document (in this case VitaCig, Inc.) becomes eligible for public listing.
In VitaCig's case, the shares being registered totaling 250,000,000 represent the amount of shares that will be paid out as a dividend to existing mCig, Inc. shareholders on a one (1) for one (1) basis such that every mCig, Inc. shareholder with one (1) share will receive one (1) share of VitaCig, Inc. that will be freely tradable following an effective declaration from the SEC.
mCig, Inc. is pleased to report that on May 16, 2014 the company received an initial round of comments from the SEC. The company's legal counsel is currently preparing an amended S-1 that will be filed with the SEC by June 15th, 2014. At that point, the SEC may return with additional comments or alternatively, declare the registration statement effective which in turn would allow VitaCig, Inc. to obtain a stock symbol and begin trading on the OTC Exchange.
The company wishes to remind shareholders of mCig, Inc. that the effective date for the VitaCig, Inc. dividend will be the same date that the SEC declares the S-1 effective.
"We have received an overwhelming amount of investor communication regarding this topic. Unfortunately, there is not a faster way to pursue a public listing with a pro-rata dividend other than filing for a new IPO as we have done. I want to stress that we remain committed to this process and will do everything in our power to see that VitaCig, Inc. obtains a public listing expeditiously. We are even more excited about the prospects of VitaCig, Inc. which is growing in popularity at a much faster rate than mCig," said Paul Rosenberg, CEO of mCig, Inc.
About mCig, Inc.
mCig, Inc. (OTCQB:MCIG) is a technology company focused on two long-term secular trends sweeping the globe: (1) The decriminalization and legalization of marijuana for medicinal or recreational purposes (2) The adoption of electronic vaporizing cigarettes (commonly known as "eCigs") by the world's 1.2 Billion smokers. The company manufactures and retails the mCig – the world's most affordable vaporizer priced at only $10. Designed in the USA – the mCig provides a superior smoking experience by heating plant material, waxes, and oils delivering a smoother inhalation experience. The company also owns Vapolution, Inc. which manufactures and retails home-use vaporizers such as the Vapolution 2.0. Through its wholly owned subsidiary, VitaCig, Inc. the company manufactures and retails the VitaCig, a $2 nicotine-free eCig that delivers a water-vapor mixed with vitamins and organic flavors. Through its wholly owned subsidiary, LiqCig, Inc. the company is engaged in the development of the world's first pre-packaged alcoholic eCig. See more at: http://www.mCig.org/, www.Vapolution.com, www.VitaCig.org.
The Company believes that a well regulated marijuana industry is emerging as more states follow the lead of Washington and Colorado in legalizing marijuana. A similar trend is developing within the eCig industry following the first acquisition of an electronic cigarette brand (Blucigs) by a traditional tobacco company Lorillard Inc. for $135 million followed by another acquisition in February 2014 by Altria Group Inc. of Green Smoke for $150 million. Wells Fargo analyst Bonnie Herzog estimates that eCig sales may rise from $1 Billion in 2013 to $10 billion over the next three years.
mCig, Inc. (OTCQB:MCIG) has positioned itself as a first mover at the intersection of these two trends and hopes to create shareholder value by making the mCig one of the leading choices for electronic consumption of plant material. - See more at: http://www.mcig.org/investors/investor-opportunity-subpage/
Safe Harbor Statement
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the Company's ability to develop, market and sell products based on its technology; the expected benefits and efficacy of the Company's products and technology; the availability of substantial additional funding for the Company to continue its operations and to conduct research and development, and future product commercialization; and the Company's business, research, product development, regulatory approval, marketing and distribution plans and strategies.
CONTACT: Paul Rosenberg
Source: mCig, Inc.