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E-cigarette maker Juul Labs Inc. is planning to lay off more than half its employees, according to people familiar with the matter, and is considering halting its sales across Europe and Asia. That could mean pulling out of as many as 11 countries and shrinking the startup’s footprint to its core markets, the U.S., Canada and the U.K.

Juul cut about one-third of its 3,000 workers earlier this year and already has halted sales of its vaporizers in several countries. [...]