Two weeks ago on March 9th, Jones Soda, signed a letter of intent to be bought by Los Angeles-based Reed’s, the publicly traded seller of Ginger Brew and Virgil’s Root Beer sodas, for about $10 million in cash and stock.
On Monday, March 19th Jones announced that it is exploring a buyout bid from another suitor. Jones claims the newest suitor was unsolicited and, at this time, Jones has not disclosed the name of the company competing with Reed’s for its buyout.
As a result of breaking its exclusivity agreement, Jones will be paying Reed’s up to $75,000.
Although Jones is considering a buyout offer from another company, it has articulated its intentions to continue talking with Reed’s. Reed’s seems to be pretty cool with Jones latest decision. “Jones management has a fiduciary responsibility to its shareholders to consider any offers to buy the company and we respect that,” Chris Reed stated. “As of yet, we have not seen the terms of the new offer.“
Jones Soda was featured as Mutineer Magazine’s Issue #4 cover story. Back issues of Issue #4 are available.