Marlboro maker leaps into the cannabis trade with $2.4B
NEW YORK (AP) — One of the world’s biggest tobacco companies is diving into the cannabis market with a $2.4 billion investment in Cronos Group, a Canadian medical and recreational marijuana company.
Altria, which makes Marlboro cigarettes, is taking a 45 percent stake in the Toronto company.
Cronos said Friday that the Richmond, Virginia, tobacco company will pay another $1.4 billion for warrants that if exercised, would give the Altria a 55 percent majority ownership stake.
Cronos first announced that it was in talks with Altria this week.