DJ Khaled Invests in Sesh Nicotine Pouch Startup and Promotes New Flavor

Grammy-winning DJ Khaled has invested in Austin-based nicotine pouch startup Sesh and is promoting its new raspberry lemon flavor, New York Post reported. He joins other celebrity investors including Ashton Kutcher, Post Malone, Lance Armstrong, Zach Bryan, Diplo, the Jonas Brothers and the Chainsmokers.

Sesh has raised $40 million from investors including venture firm 8VC and Troy Link, CEO of Jack Link’s.

The company states it is one of the few pouch-makers not backed by Big Tobacco. All of its celebrity partners are over 30, and Sesh maintains no TikTok presence while requiring age verification at every point of sale. DJ Khaled posted a video on Instagram last month showing him delivering Sesh cans by jet ski.

Sesh pouches sell for $5 to $7 per can and contain synthetic nicotine and food-grade ingredients. Companies including Palantir installed branded Sesh vending machines in their offices earlier this year. The global nicotine pouch market is projected to grow from nearly $10 billion this year to $56.7 billion in 2035, according to a Global Markets report.

Zyn held 26% of the market as of last year. Sesh revenue grew 533% in the first quarter compared with the same period last year. Sesh co-founder and CEO Max Cunningham quit his job as a liquor salesman in 2021 and traveled to Sweden to meet Thomas Ericsson to develop the product.

In May the FDA said it would not prioritize enforcement on marketing by nicotine pouch companies with pending applications. Sesh has permission to sell but awaits FDA approval to market its products and has spent $15 million of its raised funds on the approval process.

Cunningham said Sesh pouches provide a more steady release of nicotine than the upfront spike offered by Zyn. He added that Sesh has no formal marketing arrangements with its celebrity investors.