Better Choice Company Inc (OTCMKTS:BTTR) stock is moving lower a bit in the opening session on Friday. The stock has gained about 60% in the past 6-month.
Major Trigger:
Better Choice Company Announces Extension of Key Asian Distribution Relationships, With More Than $100 Million of Aggregate Minimum Purchases Through 2025
Key Highlights:
- announced that it has agreed to aggregate minimum purchases with its key Asian distribution partners totaling more than $100 million in sales from Jan 1, 2021 – December 31, 2025. This represents both an acceleration of sales growth in key markets and an extension of contract term for certain distributors relative to previously disclosed figures.
- Better Choice has built several strong distribution partnerships over the last few years in China, Korea and Japan that focus on selling its extremely popular Halo Brand and has recently looked to expand its reach in other international markets.
- Halo’s commitment to delivering real whole meat, certified proteins and no antibiotics has resonated strongly with Asian pet parents that desire an easier to digest food for their pets with quality ingredients from a brand they trust. By delivering on this value proposition, Halo was able to achieve 95% growth in Asian sales in 2020, with sales in China representing 48% of total Asian sales.
- The acceleration of sales in China has been driven in part by Halo’s ability to secure Product Import Registrations for 15 Holistic Dog and Cat Food Diets from the Ministry of Agriculture and Rural Affairs of China in June 2020.
Key Quote:
Scott Lerner, CEO of Better Choice stated, “We are incredibly excited to build upon and solidify already strong long-term relationships with our distribution partners in Asia. Having trusted partners that stand behind what we represent as a brand has proven to be a key catalyst for growth historically and going forward. With the formal extension of these contractual relationships, we can invest with confidence in our international supply chain, plan long term marketing initiatives and bring innovative new products slated for launch in the U.S. to our international customers.”
Market Reactions
As of 9:43, BTTR stock fell by 1.32% at $1.50. Total volume so far stood at 4K shares, compared to its average volume of 118K shares. The stock moved within a range of $1.5000 – 1.5400 after opening at $1.52.
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