OGI - This Surprising Projection Shows Why Big Tobacco Is Moving Into Cannabis
Cannabis companies haven't made many deals outside of its own industry, but a couple of the more notable ones have involved tobacco. Altria (NYSE: MO) invested $1.8 billion into Cronos Group (NASDAQ: CRON) back in 2018 to take a 45% stake in its business. And last month, British American Tobacco (NYSE: BTI) invested roughly $176 million in OrganiGram Holdings (NASDAQ: OGI) , which represents a 20% stake in the cannabis company.
Not only is the cannabis industry moving further into the mainstream as more states legalize marijuana, but there's also a growing pressure on the tobacco industry to diversify its offerings. And a new projection could put pressure on tobacco companies to act sooner rather than later.
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This Surprising Projection Shows Why Big Tobacco Is Moving Into Cannabis