Altria Group gets a request for additional information from the US Federal Trade Commission (FTC) regarding its investment in JUUL Labs that closed in December 2018, reported Reuters.
Altria, which bought a 35% stake in Juul for US$12.8 billion in December, is now looking to convert its non-voting stake in the company to voting shares as per the terms of the investment agreement.
The company stated the waiting period for the conversion deal had been extended until 30 days after the parties had complied with the FTC’s request for documents. The agency is investigating the proposed conversion deal to ensure that it does not violate antitrust law.
The proposal would give Altria the right to nominate directors representing a third of JUUL’s board. The company will otherwise remain independent.
Full Content: Reuters