Altria board approves $13 billion investment in e-cigarette company Juul

[5150sick]

https://www.cnbc.com/amp/2018/12/19...ve-altrias-13-billion-investment-in-juul.html

 

[Rossum]

Wow. A deal that values Juul at more than 25x revenues.

 

[SteveS45]

Wow 13 Billion and only a partial stake in the company.

 

[sheperd80]

Well i hope Juul plans to expand their line otherwise this seems like a bad investment. The juul is the iphone4 of vaping right now. Its outdated and the community is catching on.

Sent from my SAMSUNG-SM-G890A using Tapatalk

 

[Rossum]

The juul is the iphone4 of vaping right now. Its outdated and the community is catching on.

Juul is the only product of its kind that is pre 8/8/16 "grandfathered". All of its wannabe competitors are technically illegal in the US.

And Juul has a pretty broad patent on nic salts in vaping.

Juul's market has never been the vaping "community".

All that said, I still think 25x revenues is insane.

 

[SteveS45]

Go read the Altria products page because they are heavily into "Open Systems" and the companies who make them.