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Keytone Dairy (ASX:KTD) merges powder manufacturing facilities

Consumer
ASX:KTD
17 December 2019 12:15 (AEST)

Keytone Dairy (KTD) has completed its integration project between its two powder manufacturing facilities in Melbourne.

Since the strategic acquisition of Omniblend in July of this year, the integration of its two powder manufacturing facilities into one large-scale nutritional powder manufacturing site has been completed ahead of schedule.

“The company is now exceptionally well placed to scale its proprietary product offering both from New Zealand and Australia, and continue to grow with our clients in the development and manufacture of third party product,” CEO Danny Rotman said.

This completion follows the news released just yesterday of the company’s New Zealand facility receiving regulatory approval.

“The completion of the integration of the Melbourne powder facilities, well ahead of schedule, in addition to the New Zealand regulatory approvals for the second facility there in the last days, places Keytone Dairy in an enviable position for 2020 and beyond,” Danny added.

Keytone’s Australian operations now include eight accredited packing rooms and a new in-house product development laboratory in one large-scale facility with highly automated equipment, a multi-room blending and warehousing facility and Australia’s first PET bottling UHT plant.

In addition, the eight packing rooms include a dairy free and gluten free packing room to meet the growing demand of clients with dietary preferences and intolerances.

These outstanding facilities will be used to scale the company’s existing proprietary brands, including Tonik and Super Cubes, into core markets like China.

This milestone will see Keytone continue to work closely with Bellamy’s Organic, Carman’s Fine Foods, Optislim, Aldi and other health and wellness brands to further develop its products and manufacturing capability.

Despite the news, Keytone Dairy is down 3.61 per cent, with shares trading for 40 cents each at 11:17 am AEDT.

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