Altria: confirms investment in Canadian cannabis firm Cronos
(CercleFinance.com) - Altria said on Friday that it had taken a 45% stake in Canadian cannabis firm Cronos, an investment worth about 1.
8 billion dollars, citing an "exciting new growth opportunity" for the company.
The agreement includes a warrant to acquire additional shares in Cronos that could increase Altria's ownership in Cronos by 10%, to approximately 55%, the US tobacco giant said.
To begin with, Altria will have the right to appoint four directors, including one independent director, to serve on Cronos' board of directors, which will be expanded from five to seven directors.
Last Tuesday Cronos said that it was in talks with Altria about a potential investment.
In a separate statement, Altria said it would stop the production and distribution of its MarkTen and Green Smoke e-vapor products and Verve oral nicotine, which contains products based upon the financial performance of these products, prompting a one-off pre-tax charges of approximately 200 million dollars.
Altria shares are up 2.2% in pre-market trading on Friday.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
8 billion dollars, citing an "exciting new growth opportunity" for the company.
The agreement includes a warrant to acquire additional shares in Cronos that could increase Altria's ownership in Cronos by 10%, to approximately 55%, the US tobacco giant said.
To begin with, Altria will have the right to appoint four directors, including one independent director, to serve on Cronos' board of directors, which will be expanded from five to seven directors.
Last Tuesday Cronos said that it was in talks with Altria about a potential investment.
In a separate statement, Altria said it would stop the production and distribution of its MarkTen and Green Smoke e-vapor products and Verve oral nicotine, which contains products based upon the financial performance of these products, prompting a one-off pre-tax charges of approximately 200 million dollars.
Altria shares are up 2.2% in pre-market trading on Friday.
Copyright (c) 2018 CercleFinance.com. All rights reserved.