(This story was updated June 26 with more details and comment.)
Jones Soda Co. sold its marijuana-derived THC beverage business to MJ Reg Disrupters for $3 million.
The deal was for about $489,000 in cash with the remaining in the form of a promissory note with fixed payment schedules, according to a Monday news release.
Seattle-based Jones Soda will continue to focus on its hemp-derived THC business, which includes Mary Jones sodas, shooters and gummies.
The Mary Jones hemp business has experienced four consecutive quarters of revenue growth through the first quarter of this year.
As part of the deal, MJ Reg Disrupters has the right to use the Mary Jones brand name in any “consumable product containing an emulsion containing THC derived from the marijuana plant” in exchange for an annual $150,000 licensing fee payable on the first anniversary of the sale and $225,000 in subsequent anniversaries, the release noted.
“Although we made the strategic decision to sell our marijuana-derived THC business, we are excited about the opportunity to increase our focus on and continue to expand our distribution of our Mary Jones HD9 products, which have been some of our fastest growing product categories,” Scott Harvey, Jones Sodas’ president and CEO said in a statement.
“I believe the divestiture of our marijuana-derived THC business will enable us to sharpen our strategic priorities and accelerate investment in our core soda, functional beverage, and adult beverage categories, including our hemp-infused THC segment.”
The Mary Jones brand ran afoul of the California Department of Public Health in 2024, when the agency warned consumers not to drink the beverages because they were “mislabeled and contain specific ingredients prohibited under state law.”
According to an MJBizDaily report, the products contained hemp-derived tetrahydrocannabinol (THC) isolate, an intoxicating ingredient that is banned in California and could pose a risk to consumers.
Medical Disclaimer:
The information provided in these blog posts is intended for general informational and educational purposes only. It is not a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of your physician or other qualified healthcare provider with any questions you may have regarding a medical condition. The use of any information provided in these blog posts is solely at your own risk. The authors and the website do not recommend or endorse any specific products, treatments, or procedures mentioned. Reliance on any information in these blog posts is solely at your own discretion.
