NICOCCINO FOCUS ON ACHIEVING A DRUG CLASSIFICATION AND IMPLEMENTS A NEW STRATEGY

In March 2016 Nicoccino Holding developed a new strategic direction with an
increased focus on achieving a drug classification for the company’s alternative
nicotine product – NicoccinoTM– in order to position the product as a smoking
cessation.
This new direction has resulted in a revised set of strategies as well an
amended business model and Vision/Mission for the company that can be seen
below.

The strategy is to create a product platform that can be used by partners who
wish to establish themselves in the market of Nicotine Replacement Therapy (NRT)
or want to expand their existing product portfolio. Sales to consumers will be
managed indirectly through a license model with international partners who are
more financially equipped to reach out globally. The company is actively also
seeking a buyer for the patent or licensing of the patent.

“With a clear classification the regulatory uncertainty will be reduced and new
markets will open up that previously were not accessible. We will lower our
costs in the Group considerably, which means that we will have no need for
additional funding the coming 12 months” says Johan Cram, CEO of Nicoccino
Holding AB.

VISION

To offer a unique and attractive nicotine product that is the most effective on
the market.

MISSION

Offer consumers a pure nicotine experience and an effective aid to quit smoking.

STRATEGIC GOALS

  ·    Secure a new pharmaceutical manufacturer.
  ·    Carry out test, validation and clinical production.
  ·    Completion of a clinical study.
  ·    Receive a pharmaceutical approval from the Medical Products Agency [MPA].

BUSINESS IDEA

Nicoccino will, through its patented product platform, offer an attractive
Nicotine Replacement Therapy which is the most effective on the market.

BUSINESS MODEL

The business model is based on introducing the product platform to international
partners that wish to establish themselves in the market of Nicotine Replacement
Therapy (NRT) or want to expand their existing product portfolio, launching the
product themselves globally or in different regions.

The licensing model could mean that the strategy is adapted to the conditions
for each respective geographical market. Partnerships can also be established at
earlier stages of the clinical approval process. The Company is also open for
sales of patent or licensing of patent.

For more information, visit Nicoccino’s webpage http://nicoccino.se/en or
contact:

Johan Cram, CEO

+46 708 980 418
johan.cram@nicoccino.se

About Nicoccino Holding AB

Nicoccino has developed an innovative and patented nicotine product that after
completion of a clinical study will be classified as a medicine for smoking
cessation (Nicotine Replacement Therapy – NRT). With a clear classification,
regulatory uncertainty will be reduced and new markets will open up that
previously were not accessible. Sales to consumers will be managed through a
license model with international partners who are more financially equipped to
reach out globally.

In 2014/2015 a commercial test launch was conducted in the UK where Nicoccino™
was sold as a consumer product online, and in retail. This introduction
confirmed that the product works and that there is a great potential for this
new type of nicotine product.

In early 2016 a new strategy was formed with an increased focus on creating a
product platform that can be used by partners who wish to establish themselves
in the market of Nicotine Replacement Therapy (NRT) or want to expand their
existing product portfolio. This new strategy has resulted in the prioritization
of achieving a drugs classification, which is of importance when entering
partnerships.

Nicoccino has its head quarter located in Täby outside of Stockholm. The
company's shares are listed on Nasdaq Stockholm First North since June 2014 and
can be found under the abbreviation NICO.

Remium Nordic AB is the Nicoccino’s certified adviser.
Johan Cram
CEO

+46 708-980 418
johan.cram@nicoccino.se
Nicoccino has developed a patented, innovative and discrete strip that through
its unique delivery method instantly provides the user with nicotine without the
detrimental side effects of smoking.

The product is designed to offer smokers an attractive alternative when they
want to quit smoking.

After a pharmaceutical approval, the product will be sold as a smoking cessation
drug (Nicotine Replacement Therapy – NRT).