Wellnex Life delivers first batch of Pharmacy Own products to exclusive distributor
Wellnex Life has delivered the first batch of Pharmacy Own products to joint venture partner CH2.
Health and wellness company Wellnex Life (ASX: WNX) has delivered the first batch of its Pharmacy Own over-the-counter (OTC) products to exclusive distributor Clifford Hallam Healthcare.
The brand is wholly-owned by Wellnex and is expected to deliver significant sales and enhanced margins to the company.
Clifford Hallam Healthcare is an Australian pharmaceutical and medical consumables company with a network of over 2,500 pharmacies.
Supply agreement
Wellnex and Clifford Hallam entered into a supply agreement for the Pharmacy Own brand in December 2021.
The terms of that deal determined that Wellnex would be responsible for development and marketing of the brand while Clifford Hallam would sell the products.
Clifford Hallam has a portfolio of over 50,000 products from more than 700 recognised suppliers and operates across sectors including hospitals, pharmacies, aged care and community, primary care and contract logistics.
The agreement is expected to increase Wellnex’s national exposure to the healthcare market.
Cheaper products
Wellnex chief executive officer George Karafotias said the partnership with Clifford Hallam would cater to a market need for cheaper pharmaceutical products.
“We are excited that our innovative brand will meet the growing demand for affordable OTC medicines,” he said.
“Partnering with Clifford Hallam on this launch will see Pharmacy Own distributed across a large and established network which will maximise sales for our company while keeping costs down for consumers.”
Fraction of the price
The Pharmacy Own brand consists of a range of OTC medicines which have been designed to provide consumers with the same quality product as major brands on the market, at a fraction of the price.
Wellnex is targeting the launch of up to 20 core products from the range in the first 12 months of its partnership with Clifford Hallam.
This will expand to over 50 products in the long term, across categories such as cough and cold, hay fever, pain relief and vitamins.