Kaival Brands Innovations Group, Inc. (KAVL) gained in the current market after announcing that the court gave Bidi Vapor a judicial stay of the FDA’s marketing denial order. KAVL values at $1.47, gaining more than 37.47% compared to yesterday’s closing price. The stock closed at $1.07 at the end of the last trading session. The stock volume was approximately 3.69 million shares at the end of the previous trading session.
Bidi Vapor has won a judicial stay of the FDA’s marketing denial order
On February 3, 2022, the firm reported that the United States Court of Appeals for the Eleventh Circuit had granted a judicial stay of the marketing denial order (MDO). The MDO was given to Bidi Vapor by the United States Food and Drug Administration (FDA) in September 2021.
Bidi Vapor has been granted a judicial stay of the FDA’s marketing denial order. The sale of the company’s 11 flavored ENDs can continue in the wake of a U.S. Circuit Court decision, allowing the company to continue its legal struggle for reconsideration of Bidi Vapor’s PMTA. The ruling, issued on February 1, 2022, enables Bidi Vapor and Kaival Brands to market and sell all of their BIDI® Stick ENDS. It includes their tobacco, menthol, and flavored products. At the same time, Bidi Vapor continues with its merits lawsuit, which seeks to have the FDA re-examine Bidi Vapor’s Premarket Tobacco Product Application (“PMTA”) for the flavored ENDS.
KAVL CEO’s remarks on the stay of MDO
Niraj Patel, president, and CEO of Kaval Brands and Bidi Vapor expects the judicial stay to boost BIDI® Stick sales. Many wholesale and retail partners had halted or slowed BIDI® Stick purchases until they heard from the courts on our merits case. Their wholesale and retail partners have waited.
He stated that they believe Bidi Vapor has established significant, comprehensive, and reputable scientific proof confirming the product’s safety. The Court has accepted Bidi Vapor’s arguments and is allowing the FDA to examine Bidi Vapor’s PMTA more thoroughly. They are happy with the Court’s ruling on the judicial stay order and anticipate prevailing on the merits.
Conclusion
Till Friday, the stock was valued at under $1 per share. KAVL was trying to meet the compliance of NASDAQ by keeping the stock price more than $1 per share. The stay has helped the stock value to gain. They anticipate that the sales will boost after the decision, and ultimately they could regain the stock’s value that they have lost over the past year.
