Shares of Long Island Iced Tea Corp. climbed more than 18 percent Thursday after the maker of ready-to-drink beverages announced what it called its biggest ever distribution deal with Food Lion LLC, a supermarket chain with more than 1,000 locations in the Southeast and Mid-Atlantic states.
“This partnership with Food Lion is the biggest in our company’s history, and together with our recent listing on the Nasdaq, is a key milestone in the development of our business across the Southeast and the U.S.,” chief executive Philip Thomas said in a statement Wednesday.
The Food Lion agreement follows a series of distribution deals announced in recent weeks, including those with grocery wholesaler Krasdale Foods in the Northeast, SellEthics Marketing Group Inc. in the Southeast, and Empire Distributors Inc. in Georgia, North Carolina and Tennessee.
Long Island Iced Tea also has struck distribution deals with Vaquería Tres Monjitas in Puerto Rico and Unique Foods Canada Inc. in Canada.
In July, the 5-year-old Hicksville company raised $6.9 million in a stock offering and shifted from trading over the counter to the Nasdaq Capital Market.
Shares of Long Island Iced Tea rose 86 cents to close Thursday at $5.49.
On Wednesday Long Island Iced Tea issued an amended prospectus authorizing the company to stage another sale of equities worth up to $50 million.