Appeals court ruling prevents AriZona's sale
A New York appeals court has ruled that the company behind AriZona Iced Tea can buy out its co-founder's stake. The ruling allows Domenick Vultaggio, the company's de facto manager, to buy out the 50% stake of co-founder John Ferolito. Furthermore, the ruling means that Vultaggio does not have to use his own money to buy out Ferolito's stake, a prospect that could have put a lot of pressure on Vultaggio. A previous agreement prevented Ferolito from selling his shares without Vultaggio's consent, despite reported interest from companies like Nestlé and Coca-Cola. According to Ferolito's lawyers, the company is worth from $4 billion to $6 billion, whereas a lawyer for Vultaggio cited a 2007 deal valuing the company at $432 million.