BREAKING: Dixie, Arizona Iced Tea Collaborating on THC Line

Dixie AZ
Dixie AZ

DENVERDixie Brands and AriZona Beverages, maker of AriZona Iced Tea, have partnered for an AriZona-branded line of THC-infused gummies, vaporizers, and beverages. AriZona’s Herbal Enterprises LLC subsidiary will direct brand and product conceptual design, and Dixie will develop, formulate, manufacture, and distribute the products.

The agreement allows AriZona to invest up to $10 million in Dixie and is one of the first examples of major mainstream brands investing in THC-infused products in the United States.

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Details will be finalized within forty-five days, but under a binding letter of intent signed August 2 and announced this morning, Dixie will be granted a license to employ AriZona’s trademarks, branding, and other intellectual property.

“AriZona is a power brand and the most iconic and recognized CPG brand to extend into the cannabis market,” said Dixie Brands Chief Executive Officer Chuck Smith. “This partnership marks a watershed moment for the popularization and expansion of the cannabis sector overall.”

According to Don Vultaggio, chairman of privately owned AriZona Beverages, “The cannabis market is an important emerging category, and we’ve maintained our independence as a private business to be positioned to lead and seize generation-defining opportunities exactly like this one. The cannabis category is an ideal space to bring the flavor and fun of AriZona into new and exciting products, and we selected Dixie Brands as our partner to bring these products to market after touring their best-in-class manufacturing facilities and spending considerable time building a strong relationship with their management. We look forward to all this partnership has in store.”

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