Eevia Health lands a new sales agreement for specialty plant-based nutraceutical extract worth SEK 8 million
Eevia Health Plc (“Eevia” or “The Company”), a leading health ingredient manufacturer from Finland, today announces that it has entered a multi-year sales agreement. The sales agreement is with a Finnish customer to supply a specialty protein and fiber plant extract with excellent nutritional values and versatile product applications for the global nutraceutical market. In addition, the customer has installed a specialty dryer in the Eevia Health plant. The investment was approximately EUR 300.000, which was funded by the customer. Eevia operates the machine, and after the fulfillment of sales volumes to the customer, Eevia Health can use this equipment free of charge.
The customer is a recognized leader in the food ingredient marketplace with a European footprint. The group has annual sales of approximately EUR 300 million in 2021 and offers plant-based food solutions for the European and global markets.
The customer will fund and organize the raw material purchase, thus shielding Eevia Health from changing raw material prices. The arrangement secures a significant gross margin contribution to the Company during the period. Management expects the first three years of the sales agreement to provide revenues for Eevia Health of SEK 8 million at very high gross margins. Eevia considers the potential for much faster growth than expected for the first three years and extensions after three years.
“This sales agreement is a welcome addition to our growing order reserve, especially because this is a circular economy product with a robust margin. As we have increased our green-chemistry manufacturing capacity during 2021, we are in 2022 driving to widen our long-term product and customer portfolio. The sales agreement demonstrates that we can compete with an efficient extraction platform based in Finland and is another step towards our turnover target of EUR 25 million in 2024.”, says CEO Stein Ulve in Eevia Health.
For further information, please contact:
Stein Ulve, CEO, Eevia Health Plc
Telephone: +358 400 22 5967