- Bubs Australia (BUB) and its joint venture partner, Beingmate, have entered a memorandum of understanding to produce Bubs China label Goat Infant Formula in China
- This memorandum of understanding gives Bubs the opportunity to acquire an ownership interest in one of Beingmate’s infant formula manufacturing facilities in the country
- Additionally, the company will receive Beingmate’s support in securing a State Administration for Market Regulation (SAMR) brand slot
- Once a SAMR approved product has been finalised, it will be tailored to the Chinese market and sold by Bubs to the Beingmate joint venture company, Bubs Brand Management Shanghai
- Bubs continues to progress with SAMR registration for an Australian-made ‘super-premium’ product to be produced at its Deloraine facility
- Company shares are steady on the market this morning and are currently trading for 92.5 cents each
Bubs Australia (BUB) and its joint venture partner, Beingmate, have entered a memorandum of understanding to produce Bubs China label Goat Infant Formula in China.
This memorandum of understanding (MoU) gives Bubs the opportunity to acquire an ownership interest in one of Beingmate’s infant formula manufacturing facilities in Beihai, China.
Additionally, Bubs will receive Beingmate’s support in securing a State Administration for Market Regulation (SAMR) brand slot.
The aim of this is to produce Bubs China label Goat Milk Infant Formula using 100 per cent Bubs Australian goat milk.
Once a SAMR approved product has been finalised it will be tailored to the Chinese market and sold by Bubs to the Beingmate joint venture company, Bubs Brand Management Shanghai.
Bubs Brand Management will continue to distribute the Bubs China label product into China’s general trade channel.
“We are highly confident this step up in our collaboration with Beingmate, one of the largest Chinese owned enterprises in China’s infant nutrition industry, coupled with their extensive capability to manufacture locally in China, will provide invaluable support in securing our SAMR brand registration,” Founder and CEO Kristy Carr said.
“Under our proposed manufacturing arrangement, Bubs China label Goat Milk Infant Formula will be produced in Beingmate’s Certification Accreditation Administration of the People’s Republic of China certified infant formula production facility in Beihai,” she said.
“Importantly, this new localisation strategy would provide Bubs with exclusive use of a China domestic SAMR brand slot and partial ownership in a registered facility in China, whilst fully retaining IP ownership of the Bubs brand,” she added.
Bubs continues to progress with SAMR registration for an Australian-made ‘super-premium’ product to be produced at its Deloraine facility.
Company shares are steady on the market this morning and are trading for 92.5 cents each at 10:12 am AEST.