22nd Century Group Shares Gain on Debt Repayment, New Capital
By Kelly Cloonan
Shares of 22nd Century Group rose after the company said it has repaid its outstanding debt and attained new capital to expand its tobacco leaf inventory.
The stock rose 10% to $1.94 on Thursday in after-hours trading. Shares are down 99% this year through market close.
The tobacco products company said Thursday it has repaid the remaining $3.9 million of its senior secured debt following the close of its Series A convertible preferred stock offering.
The debt repayment and completion of the offering resulted in an approximate $9.1 million increase in as adjusted pro forma net tangible book value, the company said.
It plans to deploy a portion of that capital to expand its low nicotine tobacco leaf inventory in the fourth quarter, it said.
"With a debt-free balance sheet, we see a significant opportunity to use our resources in a forward-looking manner focused on growth," Chief Executive Larry Firestone said.
Write to Kelly Cloonan at kelly.cloonan@wsj.com
(END) Dow Jones Newswires
September 18, 2025 18:01 ET (22:01 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties. Such third-party content is offered for informational purposes only and is not endorsed, reviewed, or verified by Morningstar.
Morningstar makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of any third-party content displayed on this site. The views and opinions expressed in third-party content are those of the respective authors and do not necessarily reflect the views of Morningstar, its affiliates, or employees.
Morningstar is not responsible for any errors, omissions, or delays in this content, nor for any actions taken in reliance thereon. Users are advised to exercise their own judgment and seek independent financial advice before making any decisions based on such content. The third-party providers of this content are not affiliated with Morningstar, and their inclusion on this site does not imply any form of partnership, agency, or endorsement.
Popular
4 Stocks to Buy Before They Rise Further
The 10 Best Companies to Invest in Now
14 Elite Funds and ETFs, and 5 Popular Funds That Just Missed the Mark
2 Undervalued Stocks to Buy Before They Rebound
United States