Marlboro maker Altria Group Inc said it had exercised the option to be released from its non-compete deal with Juul Labs Inc, nearly four years after buying a 35% stake in the e-cigarette maker that was then at the zenith of its popularity. Altria is looking to permanently terminate its non-competition obligations to Juul, give up certain rights including its board designation rights and reduce its voting power, according to a regulatory filing on Friday. In July, Altria slashed the value of its stake in Juul to $450 million, down from the original value of $12.8 billion, allowing itself the option to be released from the non-compete clause and invest in or engage with any other e-vapor business.
By Peter Nurse
In the latest trading session, Altria (MO) closed at $41.41, marking a +1.52% move from the previous day.