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Cellmid (ASX:CDY) cuts collaboration deal on haircare products

Consumer Discretionary
ASX:CDY
08 June 2021 14:00 (AEST)
Cellmid (ASX:CDY) - Chief Executive, Maria Halasz

Source: SMH

Cellmid (CDY) subsidiary Advangen has inked a supply and collaboration agreement for its hair growth products with an Australian haircare company.

Under the arrangement, Advangen is set to supply its FGF5 inhibitor hair growth products to Pump under its brand name and collaborate with Pump on new products.

Advangen said it has been negotiating supply and collaboration partnerships as part of the company’s broader growth strategy, with the agreement marking the first of its kind with another haircare brand.

As a result, Cellmid and Advangen affirm the move could increase recognition and the customer base for the technology within the anti-aging hair-care market.

Specifically, Advangen will manufacture and supply PUMP branded hair lotions
using its FGF5 inhibitor hair loss prevention and hair growth technology, while Pump is set to cover marketing activities and sell the hair lotions through its multi-channel distribution model.

According to Cellmid, the anti-aging hair care market is set to grow at 5.05 per cent annually until 2028 and said it was “ideally placed” to take advantage of the growth trend.

Cellmid shares were trading down 1.52 per cent at 6.5 cents at 2:38pm AEST.

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