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New Zealand Coastal Seafoods (ASX:NZS) - CEO, Andrew Peti - The Market Herald
CEO, Andrew Peti
Source: New Zealand Coastal Seafoods
  • New Zealand Coastal Seafoods (NZS) has entered a supply agreement with Dr Behr for the sale of green lip mussel powders and oils
  • Dr Behr will initially sell the company's green lip mussel powders and oils into Europe (excluding the U.K.)
  • However, the parties will collaborate to potentially develop more products such as seaweed powder, marine collagen powder, oyster powder, and more
  • New Zealand Coastal Seafoods expects revenues from mussel products alone to be around NZ$432,000 (roughly A$398,269) for the first year
  • This agreement aligns with the company's growth strategy as it looks to target Asian, U.S., Japanese and Korean markets
  • Company shares are currently trading 15.8 per cent higher at 4.4 cents

New Zealand Coastal Seafoods (NZS) has entered a supply agreement with Dr Behr GmbH for the sale of green lip mussel powders and oils.

Under the one-year agreement, Dr Behr will initially only sell NZCS's green lip mussel powders and oils into Europe (excluding the U.K.).

Minimum order quantity revenues from mussel products alone will be NZ$432,000 (roughly A$398,269) for the first year.

While the agreement initially covers the company's green lip mussel powders and oils, NZCS aims to collaborate with Dr Behr to develop more products such as seaweed powder, marine collagen powder, oyster powder, nootropic products and cognitive enhancers. This is set to expand opportunities and revenue streams.

"The supply agreement not only provides revenues, but is a strategic move for NZCS, as the company seeks to expand distribution, by offering product lines developed for Dr. Behr, into Asia, the U.S., Japan, Korea and other new and existing territories," CEO Andrew Peti said.

Dr Behr is a German-based manufacturer and distributor of dietary supplements, nutraceutical and pharmaceutical products.

"We’re very pleased to be working with NCZS as a key supplier, as they’re a world class manufacturer of nutraceutical ingredients, which aligns with our strategy of providing high quality certified products, to our customers across Europe," Dr Behr CEO Martin Landre said.

The agreement can be renewed for three additional one year terms and then an another three-year term if both parties agree.

Company shares are trading 15.8 per cent higher at 4.4 cents each in early morning trade.


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