Neptune Wellness Solutions Inc (NASDAQ:NEPT) continues to move higher and up almost 10% in just one week. Will the rally continue?
Market Action
As of 10:12, NEPT stock jumped by 4.45% at $1.45. The stock has traded 2.30 million shares, compared to its average volume of 2.53 million shares. The stock opened at $1.47 and moved in a range of $1.4200 – 1.4900.
Major Trigger:
Neptune Announces Exclusive Licensing Agreement Between Sprout Foods and CoComelon®
Key Highlights:
- announced a multi-year licensing agreement between its Sprout Foods (“Sprout”) organic baby and toddler foods and CoComelon®, the world’s leading children’s entertainment brand, owned and operated by Moonbug Entertainment.
- The licensing agreement was brokered by Moonbug’s North American Licensing Agency, UTA and includes all North America. Product is expected in the summer of 2021. Terms of the deal were not disclosed.
- Acquired by Neptune in February, Sprout was founded in 2006 and was an early innovator in the organic baby food market, driving category expansion and creating optionality for parents who want to feed their children delicious, organic foods.
- Combining this with Neptune’s health and wellness platform will greatly elevate Sprout’s efforts to make innovative, organic products accessible for today’s healthy families. Today, Sprout is the #5 market share leader in the high-growth organic baby food category in North America and the #3 organic baby food brand on Amazon.
Key Quote
“I am thrilled to announce this arrangement with CoComelon, the number one children’s show in North America,” said Michael Cammarata, Chief Executive Officer and President of Neptune. “Since acquiring Sprout in February, we have already increased sales through expanding our distribution across Target stores in the United States, and we expect to add more national retailers. This agreement with CoComelon, through its unparalleled reach, should fuel additional dynamic growth for this leading organic baby food brand.”
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