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Woolworths to stock ECS Hemp Oil

Consumer Discretionary
ASX:ECS      MCAP $24.48M
06 November 2019 22:41 (AEST)

ESC Botanics’ Hemp Oil will be sold in 850 Woolworths stores after securing a contract with the retail giant.

The biotech company says its distribution partner, Just Foods Australia (JFA), secured the deal.

ESC says the first order intended for Woolworths stores will be dispatched on January 13, 2020.

While the total revenue generated from the distribution to Woolworths is unclear at this time, ESC says it will provide details around sales revenue to market in the near future.

Woolworths is Australia’s largest supermarket chain with 995 stores across Australia. The supermarket aims to work closely with Australian growers and farmers.

ESC is a Tasmanian agribusiness and hemp food (wholesale and retail) company. It has the necessary licenses to cultivate, supply and manufacture hemp in Tasmania.

The company also has a growers license in Queensland.

ESC Managing Director Alex Keach is pleased with the distribution deal with Woolworths.

“This is a very large step in our commercial strategy and shows the strength of our new distribution partner JFA, who has delivered very early on in the relationship,” Alex said.

“We expect to update the market regarding wider distribution of ECS products as retailer range reviews are completed and JFA meets with further retail groups,” he added.

ESC Botanics is up 36.59 per cent on the Australian Securities Exchange and is trading at 5.6¢ apiece at 1:24 pm AEDT.

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