Marijuana-infused product brand Dixie inks licensing deal with Arizona Iced Tea maker

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Denver-based Dixie Brands, a longtime manufacturer of marijuana-infused products,  reached a licensing deal with Arizona Beverage Co., the firm behind Arizona Iced Tea.

Arizona Beverage Co., based in Woodbury, New York, is entering the marijuana-infused beverage and edibles market in the United States and Canada in an effort to make up for lost ground in the traditional drinks sector, The Wall Street Journal reported.

Under the licensing agreement:
  • Dixie will manufacture marijuana-infused products and distribute them through state-legal cannabis retailers.
  • Arizona Beverage can purchase an ownership stake in Dixie for up to $10 million.
  • Dixie’s board must sign off on the arrangement.

More details about the deal can be found here.