JAT follows up lucrative contract with new product launch
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
JAT Energy’s (ASX:JAT) 51% owned subsidiary, Golden Koala Group Pty Ltd, has developed a new OPO formula for milk products for the Australian and overseas markets.
The company has an established presence in handling Chinese-Australia cross-border fast moving consumer goods (FMCG) products.
The formula will be sold in a new range of products packaged with English language labels.
This development comes on the back of another distribution deal which was sealed only a week ago with Cyclone e-commerce.
Large addressable market
Under last week’s lucrative agreement with Cyclone, the group will be purchasing over $7.5 million in product from JAT over the next 12 months.
While the company hasn’t quantified the potential dollar value of its new OPO formula, given the large addressable market it would appear to be considerable.
Although any dollar amount is speculative at this stage4 and investors should seek professional financial advice if considering this stock for their portfolio.
The formula will be sold in a new range of products packaged with English language.
Premium and high calcium products pitched at infants to toddlers
One of the brands is Golden Koala Premium Infant Formula, a product for newborns to 6 months with a ‘premium follow-on formula’ for 6 to 12 months.
The company has also released a premium toddler milk drink pitched at the 1 to 3-year-old group which will be sold through the network of cross-border distributors that JAT has been developing in China and other countries over recent months.
High calcium Golden Koala full cream instant milk powder will be sold through cross-border distributors and in addition, wholesaled to domestic distributors for sale in Chinese shops and supermarkets.
Golden Koala has placed an initial order of one container of each of these products with its contract manufacturer in Australia.
Another step in CFDA approval process for China
JAT also informed the market that the Chinese label formulation for Golden Koala Premium Infant products has now been finalised.
This is a key milestone in the CFDA approval process for domestic Chinese distribution, as samples can now be prepared for laboratory testing.
Finalisation of the Chinese label formulation is a major precursor to the CFDA application being processed.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.
