Infant-formula maker Bubs Australia has entered another deal in China, this time with baby products retailer Kidswant.
The agreement has been inked through its newly-established joint venture with China’s Beingmate Baby & Child Food Co. – Bubs Brand Management Shanghai Co. – which was signed off in March, and is the first major project under the partnership.
Sydney-listed Bubs, which specialises in goat’s milk infant formula, said in a statement today (27 June) its products will be available across 275 stores of Nanjing-headquartered Kidswant in 123 Chinese cities. It predicts the agreement will generate annual sales of CNY30m (US$4.3m) in its 2020 fiscal year.
Beingmate chief executive Xiufei Bao said: “The cooperation with Kidswant is the most important project that has been signed and implemented since the establishment of our joint-venture company with Bubs.”
Kidswant was established in 2009 and claims to be the “market leader in infant and child retail with the largest market share in China”. It has an annual turnover of more than CNY10bn, and as well as physical retail stores, it operates online shopping malls and mobile phone applications.
Bubs CEO Kristy Carr said: “We are delighted to establish this strategic partnership with Kidswant, the No.1 baby store chain in China. Kidswant’s store footprint and its full-service integrated membership model provides us with immediate access to our core potential customers in a trusted ecosystem.”
In May Bubs inked a supply and manufacturing agreement with New Zealand’s Fonterra, the world’s largest dairy cooperative.