Altria Can Sell Its Own E-Cigarettes After Ending Deal With Juul
- Move gives tobacco company flexibility in the growing sector
- Altria’s investment in Juul has plunged in value since 2018
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Altria Group has ended a deal that barred it from competing with Juul Labs Inc., opening the door for the Marlboro maker to buy an e-cigarette company or develop its own vaping products.
As part of ending the agreement, Altria reduced its rights to designate Juul board members. The tobacco giant’s shares in Juul are now converted to single-vote common stock, significantly reducing its voting power.