Amityville, N.Y.-based distiller Iconic Brands Inc. said Dec. 9 that it entered a stock purchase agreement to sell majority of its stake in its subsidiary Green Grow Farms Inc. to Canbiola Inc.

Canbiola manufactures and sells cannabis products such as oil, drops, gels, creams and moisturizers.

The stake was sold for a total consideration of 37.5 million shares of Canbiola's common stock. Iconic Brands said the transaction monetizes a noncore asset and allows it to focus on expanding its alcohol brands and developing new products for the coming year.

"I'm excited to have Canbiola use their expertise in cannabidiol to expand Green Grow, as our shareholders will now be able to benefit from our ownership of Canbiola stock," Iconic Brands CEO Richard DeCicco said.

DeCicco added that Iconic Brands is in talks with several new brands and will provide updates to shareholders "in the coming weeks and months."