RooLife inks global distribution deal with Careline Australia for skincare and wellness products
e-Commerce company RooLife Group (ASX: RLG) has inked a deal with Careline Australia for the manufacture and supply of health and wellness products to be sold through its sales channels and platforms.
The companies will collaborate for an initial 13-month period to identify specific pharmaceutical, health and skincare products made by Careline for RooLife to sell in Australia, China and South-East Asia, with new markets expected to open later this year.
RooLife chief executive officer Bryan Carr said Careline’s established product range would allow RooLife to achieve immediate sales and add value to the partnership.
Margin expansion
The products will be marketed under RooLife’s VORA brand and will include Careline’s Chantelle skincare range featuring patented plant and animal stem cell technology, antioxidant blends and natural essential oils.
Specific order requirements will be agreed upon each month, and terms of the deal may be varied at any time or terminated by either party with written notice.
RooLife has already received approximately $70,000 in initial sales orders for these products this month and the new agreement is expected to position the company for continued margin expansion.
Homegrown products
Mr Carr welcomed the Careline deal, which will market homegrown products with quality Australian ingredients to a widening international consumer base.
“We are excited to be expanding our own-brand range for global sales through our established and growing channels,” he said.
“Partnering with a highly-credentialled Australian manufacturer with proven expertise in making health and wellness products to service identified demand is the perfect match for us.”
Kangaroo Beer deal
RooLife announced a new agreement with Henan Rock Kangaroo Brand earlier this month for the sale of RooLife’s Kangaroo Beer in China.
The deal will see Henan Rock manufacture the beer on behalf of RooLife and manage sales through its established channels, with an agreed minimum sales volume of $1.25 million in the first year.
RooLife will take a 51% share of the profits, while Henan will be entitled to the remaining 49%, with the deal expected to provide RooLife with exposure and access to the world’s largest and fastest-growing beer market with forecast sales of $180 billion in 2024.