Bubs Australia Limited (ASX:BUB) has announced it has acquired 100 per cent of Nulac Foods, an Australian based company that develops goats milk, specialist dairy and dairy free products.
Bubs has also acquired a 49.9 per cent stake in a milk processing facility in Keysborough and a 49.9 per cent stake in the New Zealand Nutritional Goat Company Limited.
Bubs has issued just over 76 million ordinary shares to Nulac as consideration for the transaction, equaling 19.9 per cent of Bubs issued share capital.
The Consideration shares have been placed in escrow, with 50 per cent issued in 12 months, and the remaining 50 per cent in 24 months.
The deal will see Bubs become Australia’s only vertically integrated producer of goat infant formula.
Shares in Bubs Australia Limited (ASX:BUB) are trading 0.70 per cent lower at $0.70.