Tobacco giant Philip Morris (PM) has abandoned merger talks with the Altria Group (MO) and instead will focus on its tobacco heating product iQOS, Reuters reports.
Trade Philip Morris International Inc - PM CFD
The merger would have seen the tobacco firms reunite after a decade since their split. A united tobacco giant would have been a force to be reckoned with regarding the growing e-cigarette market and increased regulatory scrutiny.
Philip Morris’ iQOS is the owner of the leading heat-not-burn product which heats packages of ground tobacco into a nicotine filled aerosol.
One of the most prominent e-cigarette companies, Juul, has come under increased scrutiny in the past month. Today the firm announced a suspension of all forms of advertising, its CEO, Kevin Burns, has also stepped down.
Altria, has a 35% stake in Juul, whose devices vaporise a liquid containing nicotine.
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