EZZ Life Science eyes US market expansion after receiving FDA approval for nine products
EZZ Life Science Holdings (ASX: EZZ) has received approval for nine of its products in the food category from the US Food and Drug Administration (FDA).
The EZZ-branded products are Children’s Essential Minerals, Children’s Eye Health, Bone Growth Chews, Brain Focus, Magnesium Plus, Aloe Vera Probiotic Capsules, Liver Detox, Joint Energy Boost Tablets and Men’s Performance.
They will form the basis of an initial launch to US consumers through online marketplaces and platforms.
Product validation
EZZ chair Glenn Cross said the FDA approval validates the high standards of the company’s product formulations and its manufacturing processes.
“This is a monumental achievement for EZZ and a validation of our commitment to excellence in product quality and innovation,” he said.
The US market reported online sales of health supplements totalling $35.7 billion in 2023 and is believed to present a significant opportunity for EZZ.
“Entering the US market is a pivotal part of our future growth plans and we are excited about the opportunities this approval presents,” he added.
“We look forward to bringing our high-quality products to US consumers and continuing to drive value for our shareholders.”
The company has registered its wholly-owned subsidiary, EZZ Life Science Holdings (USA) Inc, to be used as the trading entity in that region.
Hong Kong agreement
The FDA approval follows EZZ’s signing of a five-year sales agreement in May with healthcare distributor Pinehills (Hong Kong), who will provide EZZ with expanded distribution channels into China, Vietnam and other markets in Southeast Asia.
Under the terms of the deal, Pinehills will buy $15 million of EZZ-branded products in the first 12-month period and increase its purchases by at least 10% in each subsequent year until 2029.
Established in 2022 and headquartered in Hong Kong, Pinehills specialises in the distribution of maternal and infant health, skincare and cosmetics products.
The company has a strong online presence in major marketplaces and various online-to-offline distribution channels.
Mr Cross said the company will become an important partner for EZZ as it works to expand its own customer base.