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It is also in talks to take a minority stake of 20-40% in the e-cigarette maker Juul Labs, sources said last week.

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Santa Fe Natural Tobacco already is subject to a Federal Trade Commission (FTC) consent order, entered in 2000, that requires the companys advertising to include a disclosure that No additives in our tobacco does not mean a safer cigarette. Its ads also include a statement that Organic tobacco does NOT mean a safer cigarette. The FDA, in an August 27 letter to the company, asserted that it has authority under a 2009 law to regulate modified-risk tobacco products. The agency directed the company to submit plans for corrective actions. The Winston-Salem Journal noted that the FDA warning came about a month after the company began a national advertising campaign with full-page ads in magazines such as Sports Illustrated, Time, Field & Stream, Southern Living, Architectural Digest, Vanity Fair and US Weekly

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