Juul Labs has cut its valuation to about $10 billion from $12 billion at the end of last year, reports Reuters.
Juul was valued at $38 billion in December 2018, when Altria Group took a 35 percent stake in the company.
The latest write down follows recent decisions to exit certain markets and related restructuring costs, according to the memo sent to Juul employees by chief executive officer K.C. Crosthwaite.
“Today’s valuation does not surprise me, and I expect other investors to also arrive at lower valuation marks that factor in our recent restructuring,” he reportedly said.
Juul has faced heightened regulatory scrutiny following a rise in teenage vaping and a ban on the sale of popular flavors.
In September, the company said it would make a significant cut to its global workforce and explore pulling out of some European and Asia-Pacific markets to save cash.
Earlier this month, the company announced its exit from Germany.