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- Australian Dairy Nutritionals (AHF) and Wellnex Life (WNX) establish a joint venture to launch Australia’s first organic A2 protein infant formula
- Initially, the products will be distributed through Wellnex’s existing pharmacy distribution channel with AHF and Wellnex to expand into retail grocery channels over time
- Under the partnership, AHF has the exclusive right to distribute the organic A2 infant formula range internationally through cross border e-commerce arrangements in China
- Wellnex will be responsible for the sale of the products in its existing Australian retail and pharmacy channels
- AHF ends the day 5.56 per cent in the green with shares trading at 5.7 cents
Australian Dairy Nutritionals (AHF) and Wellnex Life (WNX) have established a joint venture to launch Australia’s first organic A2 protein infant formula.
Initially, the products will be distributed through Wellnex’s existing pharmacy distribution channel with AHF and Wellnex to expand into retail grocery channels over time.
Under the partnership, AHF has the exclusive right to distribute the organic A2 infant formula range internationally through cross border e-commerce arrangements in China.
AHF will pay a royalty to WNX on sales through the overseas e-commerce cross border channel.
AHF CEO Peter Skene commented on the partnership.
“We see the joint venture with Wellnex as a vehicle to accelerate distribution of both future Gradulac Gentle and organic A2 infant formula ranges in Australia and overseas in a capital efficient manner,” Mr Skene said.
Wellnex will be responsible for the sale of the products in its existing Australian retail and pharmacy channels.
The company will also distribute the future Gradulac Gentle infant formula range through its pharmacy distribution network.
Wellnex CEO George Karafotias was excited to be partnering with AHF.
“We’re overjoyed to be partnering with Australian Dairy Nutritionals to launch Australia’s first organic A2 infant formula range using 100 per cent Australian milk,” Mr Karafotias commented.
“The joint venture with AHF will allow us to distribute and sell unique and in-demand premium milk products through our substantial existing distribution network.”
The joint venture will begin in January 2022 and has conditions including achieving listing of the two new ranges in a major pharmaceutical retailer.
AHF has ended the day 5.56 per cent in the green with shares trading at 5.7 cents in a $27.32 million market cap.
