Health and wellness company Wellnex Life (ASX: WNX) has commenced production of a liquid soft gel paracetamol range developed as part of a 10-year deal with pharmacy chain Chemist Warehouse.
Under the terms of the joint venture, Wellnex will be responsible for the development, registration and commercialisation of the range, while Chemist Warehouse will take care of distribution and marketing.
The gel capsules are set to hit shelves in September and will be the first of four products slated for release by the two companies under the ‘Wagner Liquigesic’ brand.
An ibuprofen-paracetamol combination liquid soft gel product is also expected to be available around the same time.
Soft gel capsules are an oral dose of a drug in the form of a specialised capsule consisting of a gelatin-based shell surrounding a liquid fill containing the active ingredient.
Their smooth texture makes them easier to swallow compared to traditional tablets and capsules and can be a preferred alternative for people needing regular pain relief.
Opening purchase orders
Wellnex said it had received opening purchase orders of around $1 million for the liquid analgesic soft gel range, which also includes a contract manufacturing order.
Wellnex chief executive officer George Karafotias said the orders reflect the company’s focus on innovative products to meet new market needs.
“This new range illustrates our strategy of being first or fast to market with products that are differentiated, have significant consumer demand and meaningful support from major retailers such as Chemist Warehouse,” he said.
Health and wellness
Wellnex (formerly Wattle Health Australia) is an Australian brand and distribution company of customer-focused health and wellness products.
It was established this year when Wattle acquired the businesses of Brand Solutions Australia and Pharma Solutions Australia.
The new entity hit the ASX boards last week with a portfolio of existing consumer brands already on the shelves; a pipeline of new “ready-to-ship” brands; $20 million in annualised revenue; and established distribution relationships with leading retail groups.
Wellnex aims to target the vitamin and dietary supplements segment of the Australian health and wellness industry, which is worth $5.6 billion and is expected to grow to $7 billion by 2023.
It also plans to expand into the $1.31 billion sports nutrition segment.
In addition to the Chemist Warehouse deal, Wellnex has distribution agreements with Coles, Woolworths, Priceline Pharmacies, Sigma Pharmaceuticals, and Australian Pharmaceutical Industries.