DSI Technology Acquisition Case Study – Republic Tobacco LP invests in Johnson Creek Enterprises LLC

Republic Tobacco

DSI Case Study – Acquisition Services

April 23, 2014, Atlanta USA

Glenview, IL US-based Republic Tobacco LP (Republic), a subsidiary of Republic Group, has acquired 50% of Johnson Creek Enterprises LLC (JCE). The transaction marks Republic Tobacco’s initial strategic move into the burgeoning electronic cigarette (e-cigarette) market. Atlanta-based DSI Global View LLC exclusively advised Republic in this transaction.

Republic Tobacco LP is the global leader and largest distributor of roll-your-own and make-your-own tobacco products and accessories. Republic’s brands include Zig Zag, Top, Swan, Job, Gambler, Drum, Largo and Tube Cut. Republic has manufacturing facilities in five countries and distributes tobacco products globally in over 100 countries.

Founded in 2008, JCE is a leading manufacturer of e-liquids, or smoke juice, for use in e-cigarettes as well as e-cigarette hardware and related accessories. Based in Hartland, Wisconsin, JCE is the first and only company to manufacture e-liquids in the US as well as use ingredients sourced solely from US-based companies. JCE was recognized in 2013 as one of the fastest growing privately held companies in America by Inc. magazine and has been featured in Time magazine, The Wall Street Journal, Bloomberg and Business Week.

According to Wells Fargo (WFC) e-cigarette sales will exceed $10 billion by the end of 2017 and Bloomberg Industries projects that the sales will exceed traditional cigarettes by 2047.

DSI is an international strategic planning consultancy focused on assisting businesses in researching, analyzing and implementing cross-border entry into new global markets. DSI provides ‘Global Reach – Local Access’ via its Global Networking Platform composed of over 225 investment banking firms, consulting firms and university and technology centers in 35 countries.

By Richard L. Wottrich, CEO and Senior Consultant, International Services

Johnson Creek Enterprises' Smoke Juice products will be distributed nationwide under a partnership with Republic Tobacco of Illinois.

Johnson Creek Enterprises’ Smoke Juice products will be distributed nationwide under a partnership with Republic Tobacco of Illinois.