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Marlboro maker leaps into the cannabis trade with USD 2.4 billion

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NEW YORK: One of the world's biggest tobacco companies is diving into the cannabis market with a USD 2.4 billion investment in Cronos Group, a Canadian medical and recreational marijuana company.

Altria, which makes Marlboro cigarettes, is taking a 45 per cent stake in the Toronto company.

Cronos said Friday that the Richmond, Virginia, tobacco company will pay another USD 1.4 billion for warrants that if exercised, would give the Altria a 55 per cent majority ownership stake.

Cronos first announced that it was in talks with Altria this week.

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