A healthier lifestyle continues to be a secular investment theme with consumers as a shift to healthier eating has transformed the food industry. Whether it is the decline in meat consumption in favor of meat alternatives or the elimination of gluten, sodium and dairy from diets, innovative companies are taking notice.
Today, Else Nutrition Holdings Inc. (TSX-Venture:BABY) (OTCQX:BABYF), a commercial stage developer of plant-based alternatives to dairy-based baby nutrition provided an update on its North American product launch of its plant-based Toddler Nutrition product.
Else has successfully completed a second commercial manufacturing run, 300% larger than the initial production run, and will commence a third manufacturing run in early November. This planned production run is expected to be 200% larger than the second run, and 600% larger than the inaugural one. Successful scale-up of production while maintaining a consistent and high-quality product is a major inflection point in the Company's go-to market strategy. As a result, Else will generate additional inventory to service the Company's expansion in the U.S. market as it rapidly expands into retail distribution, and scales its online sales.
"We are encouraged by the early response to our long awaited product launch, and equally pleased to have to ramp up our inventory as we continue to see strong demand for our novel, clean-label, plant-based Toddler Nutrition product," said Mrs. Hamutal Yitzhak , CEO and Co-Founder of Else. "We are grateful for the very positive daily feedback from parents across North America , and look forward to bringing the product to store shelves soon. Additionally, a consistent, high quality and scalable manufacturing process is a critical pillar of our business – we are pleased to have successfully completed two commercial scale runs and look forward to exponentially scaling the next one.
Shareholders appeared equally excited about BABY’s retail expansion preparations by pushing shares of the Company’s stock up 4.98% to $2.32 in late-morning trading. The BABY stock chart shows a series of higher highs and higher lows since late-2019 which should auger well for the bull case for the stock.