RGI 0.00% 4.8¢ roto-gro international limited

Ann: RotoGro Partners with Strategic Organic Produce Group, page-20

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  1. 1,540 Posts.
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    Having a closer look at the Freshero web site almost confirms my suspicion they have contracts in place.

    Under the "Major Australian Retailer" banner they talk of "long term supply contracts being negotiated", then go on to say they have "Co-location of warehousing operations utilising available land owned by the major retailer." So they've already agreed with the major Australian retailer on using their warehouse, the rest sounds like a done deal to me, just the minor things to work out. It's also singular suggesting one major retailer. I think we can omit IGA & Aldi leaving Coles & Woolworths. I get more google hits with Freshmax & woolies than Coles & given Mahoney's previous employment I'm guessing Woolies.

    Under the "Major Asian Retailer" banner, they state "key agreements for entry into Asian markets" so sounds like they have an agreement here with ongoing discussions.

    And as I posted above they have "strong personal and commercial relationships with key Australian, New Zealand and Singaporean retailers"
    The SE Asian markets would appear to be Singapore to begin with.

    The website also says "We have carefully selected best of breed organic growing systems that deliver consistently high yields" (Rotogro)
    Another feather in Mahoney's cap was that under his leadership the turnover of the Australian business went from $12m to over $400m Not sure if that's for Freshmax or Nutrano. Given Rotogro will get a commission on sales, at say 10% (probably overly generous) it would be $40m pa if he built Freshero up the same way. Somehow I think he'd want to surpass that.
 
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