Nice sum up!!!!!...

Nice sum up!!!!!






https://thecapitalclub.com.au/2018/...upply-deal-with-chinese-state-owned-shandong/


Wattle Health Australia Ltd (ASX:WHA) strikes supply deal with Chinese state-owned Shandong




Wattle Health Australia Ltd (ASX:WHA) announced this morning that is has struck a supply deal with Chinese state-owned business Shandong Weihai Port International Trade Co Ltd.

The deal will see Wattle supply Shandong with its conventional cow infant formula range, with Shandong agreeing to minimum order volumes over the first 3 years, worth cumulative revenue of approximately $34 million over the period.

This deal is the latest in a string of steps made by Wattle in a bid to boost its sales pipeline, in particular, its ability to tap the Chinese market to its potential.

In April, the company signed a similar deal with International Supplies and Distribution Company Pty Ltd (ISDC) to supply its conventional cow infant formula for sale in traditional retail/general trade in Mainland China.

In late May, Wattle struck a deal with consumer staples wholesaler and distributor Metcash Limited (ASX:MTS) to supply its baby food range to Metcash Trading Limited, the wholly owned subsidiary of Metcash Limited.

Earlier this month, the company completed a capital raising, raising approximately $33.9 million which will be used to partially fund its obligations as part of the Corio Bay Dairy Group (CBDG) Joint Venture, announced in early April.

Wattle entered into the joint venture with Organic Dairy Farmers of Australia Limited (ODFA) and Niche Dairy Pty Ltd (Niche) to form CBDG, of which Wattle owns a 45% stake. CBDG will design, construct and operate a dedicated organic milk spray drying facility in Geelong, Victoria, and will have the capacity to be able to process up to 200,000 litres of fresh organic milk per day (up to 73 million litres per annum).

Last week, Wattle also announced it had entered into an agreement with Quality Brands International Direct (QBID) which will provide access to major export markets via e-commerce. QBID is a leading e-commerce provider predominantly in the Chinese market with more than 20 brands represented.

Wattle Health shares fell 5.82% on Thursday to close at 89 cents.

Wattle’s shares have gained over 91% over the last 12 months, compared to a gain of 7.1% for the S&P/ASX 200.