Bubs shares up 17% on organic infant formula news

Company News

by Anna Napoli

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$0.730 -$0.025 -3.34%
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Last Updated: 25/02/2020 3:59 PM

Bubs (ASX:BUB) has today announced that it has entered into a supply agreement with Fonterra Australia (ASX:FSF) to produce Bubs Organic new infant formula range.

The deal will make Bubs the first company to offer Australian made certified organic grass-fed infant formula.

Fonterra will supply Bubs with organic milk powder, sourced from its organic milk pool in New Zealand.

The conditional supply agreement runs for an initial term until July 31 2021.

The Bubs Organic range of infant formula will be available in Chemist Warehouse pharmacies throughout Australia within 3 months. Export to China’s cross-border eCommerce channel will follow shortly afterwards.

Shares in Bubs (ASX:BUB) are trading 16.6 per cent higher at $1.54.

Anna Napoli

Finance News Network
Anna joined FNN February 2018 and also works with Channel 7 as a freelance producer. Anna has also worked as a lawyer and lecturer. She has also presented news updates for interstate news with Southern Cross Austereo.