Kimree Inc. has filed an F-1 statement with the U.S. Securities and Exchange Commission (SEC) for an initial public offering. No terms were given for the offering, but it can potentially raise up to $125 million. The company plans to list on the Nasdaq Global Market under the symbol KREE. The sole underwriter for this offering is Citigroup.

Kimree designs and manufactures e-cigarette products. These range from disposable e-cigarettes to rechargeable e-cigarettes and e-cigarette accessories. The company also launched its own brand of rechargeable e-cigarette called Ekmizer in May 2014, which is a personal vaporizer that allows users to refill liquid solutions on their own. The company primarily distributes Ekmizer through e-commerce channels.

While 24/7 Wall St. does not usually print when companies say they are a “world-leading company” in their field, the IPO filing does include a Frost & Sullivan reference showing that Kimree was the second largest e-cigarette designer and manufacturer in the world in terms of both revenues and production volumes in 2013.

Kimree and its founders claimed to have 334 e-cigarette related patents registered in China, two patents and 150 community designs registered in the European Union, and 13 patents registered in the United States. Another claim is that it and founders have 48 international applications published and 466 filed under the Patent Cooperation Treaty.

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The company manufactures its e-cigarette products in Guangdong Province, China. In 2012, 2013 and the six months ended June 30, 2014, Kimree produced and sold 12.3 million, 47.3 million and 27.3 million units, respectively, of e-cigarette products. The company also claims to have a customer base that is from more than 20 countries.

Kimree’s revenues increased from $21.3 million in 2012 to $79.7 million in 2013. Its revenue increased by 57.4% from $32.6 million for the six months ended June 30, 2013, to $51.3 million for the six months ended June 30, 2014. Kimree’s net income increased from $0.7 million in 2012 to $13.3 million in 2013. Also, net income increased by 121.5% from $4.6 million for the six months ended June 30, 2013, to $10.2 million for the six months ended June 30, 2014.

Also from the IPO filing:

Our five largest customers individually accounted for 23.5%, 16.0%, 14.4%, 9.7% and 8.9% of our revenues in 2013, respectively, and 79.0%, 4.5%, 3.9%, 3.9% and 2.9% of our revenues for the six months ended June 30, 2014, respectively. In the aggregate, our five largest customers accounted for 72.5% and 94.2% of our revenues in 2013 and for the six months ended June 30, 2014, respectively.

FULL IPO FILING

The proceeds from this event will be put toward increasing the automated production capability of its facilities, increasing the research and development capabilities and finally expanding sales and marketing efforts.

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