Philip Morris International IncInternational Co., Ltd. ("Philip Morris International") has announced that it has agreed to buy British inhalant manufacturer Vectura Group for 1.05 billion pounds ($1.5 billion).

This is the tobacco giant's biggest move into the health care industry so far. Earlier this month, the company agreed to buy nicotine gum maker Fertin Pharma for about $820 million.

As more and more people quit smoking and focus on healthier lifestyles, Philip Morris International has been trying to expand its non-tobacco products. The company has helped open up a wider market for cigarette substitutes through its IQOS heating tobacco equipment.

Philip Morris International's offer for Vectura is 150p a share, an 11 per cent premium to Thursday's closing price.

The company's offer surpassed that of private equity giant Carlyle, which agreed in May to buy Vectura for £958 million. But Vectura management no longer supports Carlyle's offer.