Jamieson Wellness Inc. Announces Advancements in Growth Strategy in China
TORONTO--(BUSINESS WIRE)--Aug 8, 2018--Jamieson Wellness Inc. (“Jamieson Wellness” or the “Company”) (TSX:JWEL), Canada’s number one manufacturer and marketer of branded vitamins, minerals and supplements, announced today that the Company has received its first Orange Hat registration certification from China’s Food and Drug Administration and is establishing infrastructure and staff in China. The Orange Hat certification, along with three existing Blue Hat registrations, provides the opportunity for the Company to launch into both the Chinese domestic e-commerce and retail channels.
“The completion of our first Orange Hat registration is a significant milestone in our long-term growth strategy for China,” said Mark Hornick, President and CEO, Jamieson Wellness. “We expect this success to allow us to accelerate future registrations, shortening the application and approval timeline. We anticipate having up to 20 Orange Hat registrations by the end of 2019. The Jamieson brand already resonates with the Chinese consumer and we are excited to provide this significant additional access to our high-quality products.”
To support this growing opportunity, the Company has extended its distribution agreement with its existing Chinese partner for an additional five years, which includes the right for Jamieson to acquire the distributor at the end of the term. This agreement allows the distributor to maintain the exclusive right to distribute Jamieson owned brands through cross border e-commerce as well as through domestic retail and online channels.
The company has also established a wholly owned foreign entity in China to better service global retail partners currently excluded from the scope of its Chinese distribution agreement. Jamieson has secured office and warehousing space in Shanghai and is currently recruiting for general management and product quality positions based in Shanghai.
To date, the Company’s distributor has been selling 50 Canadian made Jamieson brand products in China through cross border e-commerce, utilizing a virtual duty free store. The Orange Hat certifications allow products to be sold in the much larger domestic market, both on-line and at physical retail, as well as to global players directly from the China operations. Nutritional supplement sales in China are forecast to exceed $20 billion in 2018 and are outpacing global industry growth, according to Nutrition Business Journal.
About Jamieson Wellness
Jamieson Wellness is dedicated to improving the world’s health and wellness with its portfolio of innovative natural health brands. Established in 1922, Jamieson is the Company’s heritage brand and Canada’s #1 consumer health brand. Jamieson Wellness manufactures and markets sports nutrition products and specialty supplements under its Progressive, Precision and Iron Vegan brands. The Company also markets products by Lorna Vanderhaeghe Health Solutions (LVHS), the #1 women’s natural health focused brand in Canada. In 2017, Jamieson Wellness was named one of the top ten most reputable companies in Canada. For more information please visit jamiesonwellness.com.
Source: Jamieson Wellness Inc.
View source version on businesswire.com:https://www.businesswire.com/news/home/20180808005778/en/
CONTACT: Jamieson Wellness
KEYWORD: ASIA PACIFIC NORTH AMERICA CANADA CHINA
INDUSTRY KEYWORD: HEALTH FITNESS & NUTRITION
SOURCE: Jamieson Wellness Inc.
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PUB: 08/08/2018 04:10 PM/DISC: 08/08/2018 04:10 PM