22nd Century Group Inc (NYSEMKT:XXII) shares were flat at $1.75 and unchanged in after-hours trading. Share prices have been trading in a 52-week range of $0.81 to $2.07. The company has a market cap of $159.07 million at 90.90 million shares outstanding.
In a press release, 22nd Century Group Inc announced that it supports the FDA plan to mandate lower nicotine at non-addictive levels in its authority under the Family Smoking Prevention and Tobacco Control Act. The company is able to achieve the FDA’s ambitious new product standard as it grows tobacco with non-addictive levels of nicotine.
“The overwhelming amount of death and disease attributable to tobacco is caused by addiction to cigarettes – the only legal consumer product that, when used as intended, will kill half of all long-term users. Unless we change course, 5.6 million young people alive today will die prematurely later in life from tobacco use. Envisioning a world where cigarettes would no longer create or sustain addiction, and where adults who still need or want nicotine could get it from alternative and less harmful sources, needs to be the cornerstone of our efforts – and we believe it’s vital that we pursue this common ground,” announced FDA Commissioner Scott Gottlieb, M.D.
In particular, its proprietary Very Low Nicotine tobacco is grown on independently-owned farms in the United States without any artificial extraction or chemical processes. Its VLN tobacco contain less than 0.6 mg nicotine per cigarette and less than 0.05 mg nicotine yield per cigarette and represents a reduction of at least 95% less nicotine relative to big cigarette brands.
22nd Century Group Inc is a plant biotechnology company that is focused on technology that allows increasing or decreasing the level of nicotine and other nicotinic alkaloids in tobacco plants, and levels of cannabinoids in cannabis plants through genetic engineering and plant breeding.
The company is engaged in various activities, including research and development of less harmful or modified risk tobacco products and tobacco plant varieties; development of X-22, a smoking cessation aid consisting of very low nicotine cigarettes; manufacture, marketing and distribution of its RED SUN and MAGIC cigarettes; production of SPECTRUM research cigarettes for the National Institute on Drug Abuse; contract manufacturing of third-party branded tobacco products, and research and development of plant varieties of hemp/cannabis, such as plants with low to no amounts of delta-9-tetrahydrocannabinol, plants with high levels of cannabidiol, and other non-THC cannabinoids.