A photoexcited state of molecular iodine in solution is observed using diffuse x-ray scattering at a synchrotron source. The measured changes in the diffuse scattering profile were consistent with earlier models of iodine's photodissociation and geminate recombination reaction, for which the recombined A/A(') state has a 0.4 A greater interatomic spacing than the resting state and has a lifetime of 500 ps in CH2Cl2. This technique should find application in the study of increasingly complicated photochemical systems which undergo structural rearrangements following rapid photolysis.