Marlboro is Moving forward in the marijuana market
Updated: Mar 15, 2019
Canadian Cannabis Market.
The US maker of Marlboro cigarettes Altria Group Inc., is moving into the marijuana sector. Paying $1.8 billion for a 45% stake in Canadian cannabis firm Cronos, according to reports from Bloomberg.
For Altria, once known as Phillip Morris, it’s an opportunity to strengthen its market share in Canada while position itself for the potential national legalization in the U.S.
Demand for cigarettes in the U.S. has been plummeting, therefore cigarette manufacturers are looking for their next move.
For Cronos, as the company said in a press release, Altria’s long history in the industry means it offers “product development and commercialization capabilities, and deep regulatory expertise.”
Smoking flower derived from hemp with no THC has already become popular in Europe and is gaining popularity in the U.S. While manufacturing "weed cigarettes" that do contain THC would be taking this trend to the next level.