Jones Soda Sells Cannabis Beverage Business for $3 Million

Jones Soda Co., a craft beverage company known for premium sodas, has sold its cannabis beverage business, including all related cannabis-specific assets under the Mary Jones brand, to MJ Reg Disrupters LLC, a privately held company, for $3 million.

Jones Soda issued a statement clarifying that it has retained and continues to focus on its hemp-derived THC product (HD9) line, which includes Mary Jones sodas, shooters, and gummies.

“The sale of the cannabis beverage business marks an important milestone in our effort to focus our resources on areas where we see the strongest long-term growth and profitability,” said Scott Harvey, CEO of Jones Soda Co. “We are proud of the innovation behind the Mary Jones brand, but I believe this divestiture enables us to sharpen our strategic priorities and accelerate investment in our core soda, functional beverage, and adult beverage categories.”

The sale of its cannabis business is part of Jones’ previously announced strategy to streamline operations and focus on its core soda offerings, modern functional beverages, and emerging adult beverage category.

As part of the transaction, the company and MJ Reg entered into a multi-year exclusive and non-transferrable trademark licensing agreement under which MJ Reg will have the right to use the Mary Jones brand name in any consumable product containing an emulsion derived from the marijuana plant with tetrahydrocannabinol (THC), in exchange for an annual licensing fee of: a) $150,000 payable on the 1-year anniversary of the effective date, and b) $225,000 on each subsequent anniversary of the effective date. Assuming a 10-year term, the total amounts due to Jones Soda Co. would be $2,175,000.

“We are excited about the opportunity to build on the Mary Jones legacy and bring it to more consumers in the evolving cannabis beverage market,” said Joe Oblas, director of MJ Reg Disrupters LLC. “Jones Soda created a unique and high-quality product, and we are committed to continuing its innovation and reach.”