Connect with us

Hi, what are you looking for?

Stocks

Altria Acquires $12.8 Billion in Juul Labs Shares

The parent company of a major cigarette manufacturer has purchased a large amount of stock in the e-cigarette company Juul.

The past few years has seen a decline in smoking in America, but use of nicotine infused vaporizers has gone way up, especially among teenagers. The Altria Group invested in the up and coming vape company by purchasing $12.8 billion in Juul Labs stock. Altria is the conglomerate in charge of Philip Morris, who manufacture Marlboro, Parliament, L&M, and various other cigarette brands. After the $12.8 billion investment, Altria now owns 35% of Juul Labs.

Recently, e-cigarettes and vaporizers were vilified by the U.S. Surgeon General in a rare public advisory against their use. The Surgeon General even went as far as declaring e-cigarette use as an epidemic among teenagers. Statistics show the use of e-cigarettes has almost doubled in the past year for 12th grade-age teenagers. These criticisms, as well as ongoing crackdowns on the sale of e-cigarettes to minors, have been levied against vape manufacturers in recent years as their usage has skyrocketed.

Despite the health warnings and criticism, this recent acquisition by big tobacco signifies new ground for them, and indicates that the tobacco business is not going anywhere anytime soon.

You May Also Like

News

In the past year, Peloton, manufacturers of stationary exercise bicycles and treadmills, has been experiencing some severe financial difficulties. The company went through a...

News

While the ongoing supply chain problems affecting the global economy have had the expected effects, they’ve also had some decidedly unexpected effects. Specifically, many...

News

As gas prices continue to rise and consumer confidence drops, not to mention the ongoing war in Ukraine, the European economy is taking a...

News

As the environmental need for electric vehicles becomes more pressing, and the car-buying public becomes more eager for them, automotive manufacturers are getting ready...

News

This morning, Coinbase CEO Brian Armstrong sent a mass email out to his company informing everyone that, as stock and crypto prices slip and...

News

As Russia’s invasion of Ukraine continues, many global businesses have pulled their dealings out of Russian territories due to a mix of sanctions and...

News

In the last few weeks, fears have begun to surface of another potential recession striking the United States economy. Economists have been working to...

News

It’s no secret that the highs of the COVID-19 pandemic cost movie theater chain AMC an unprecedented amount of money. As people isolated at...