-By Kenneth Hein

Pepper sauce and tequila, together at last. Heaven Hill Distilleries announced it has signed a licensing agreement to produce Tabasco brand Spicy Tequila. Launching this month in five markets, the new spirit brand will bear the familiar Tabasco diamond logo and typeface.

Tequila has been enjoying a boom in the United States. Last year the category grew 7.5% with 90% of sales coming from the U.S. and Mexico, per Impact. New York.

Tequila marketers have been touting tequila as the next great “white spirit” following in the footsteps of the ever-popular vodka. Much like vodka, consumers have upgraded to premium brands like Patrón. The luxe brand grew 52.7% to about 1.6 million cases last year, making it the No. 2 brand behind Jose Cuervo's 3.9 million cases.

Vodka brands have also enjoyed great success by adding flavors. Is this the next step for tequila? “Who knows? Someone who is a tequila drinker might think it’s great,” said Frank Walters, director of research at Impact. “The category continues to grow and people are always looking to unique ideas, concepts and flavors.”

“Heat Up the Night” will be the rallying cry for the new brand. The "Tabasco Hot Girls Promotion Team" will hit bars and POP will appear in-store. Tabascotequila.com will support the new product, which retails for $21.99 for a 750 ml bottle.

“This new product not only brings together two multi-generational family businesses, but it also capitalizes on the equities of Tabasco Pepper Sauce and the popularity of the tequila category," said Kate Latts, dir.-marketing for Heaven Hill Distilleries. The independent spirits company, located in Bardstown, Ky., was founded in 1934. Tabasco is produced by 140-year-old Mcllhenny in Avery Island, La.