Over the age of 50? Element Nutritional Sciences is seeking real muscle in the market.
A combination of a great product, great distribution and strong marketing usually leads to good success. In the case of today’s company, there is also a strong need for their products. Their flagship product helps prevent muscle loss by supporting muscle growth as well as boosting energy, something just about all of us need in today’s busy world.
The Company is Element Nutritional Sciences Inc. (CSE: ELMT) (“Element”). It is a newly listed nutraceutical company based in Ontario, Canada and was founded in 2015. Element specializes in the development of nutritional and dietary supplements that increase and maintain the health of men and women. In particular, Element’s flagship product, Rejuvenate™, works to support muscle growth (and prevent muscle loss) and boost energy especially in athletes or those over 50.
Sector outlook for the US$50 billion North American nutritional market is strong, 49% of the population concerned about effects of muscle loss
Tremendous product distribution growing rapidly (Walgreens, Sam’s Club/Walmart, iHerb)
Element just announced some spectacular news the past month. The first news is that Rejuvenate™ is now available in over 8,400 Walgreens locations in the United States. I say “spectacular” as Element only listed on the CSE exchange less than a month ago, as you can read in my previous article here. According to the announcement, Element states:
“Rejuvenate™ products are now available at over 15,500 points of distribution in the United States (through Walgreens, CVS and Food Lion) and 750 locations in Canada (through Loblaws, Shoppers Drug Market, and Rexall). These retail partnerships complement the Company’s e-commerce network which includes amazon.com, amazon.ca, rejuvenatemuscle.com and rejuvenatemuscle.ca, and will soon include shipments to Sam’s Club and iHerb.”
Walgreens operates as the second-largest pharmacy store chain in the United States.
Sam’s Club is the membership warehouse division of Walmart Inc. operating through both retail locations and its online platform. Last financial year, Sam’s Club reported revenue of US$63.9 billion. Element stated: “In its first advertising campaign in partnership with Sam’s Club, the Company is expecting to reach approximately 4.4 million impressions, including impressions among the Sam’s Club membership base.”
iHerb is an e-commerce platform offering over 30,000 products from 1,200 brands to millions of customers in over 150 countries around the world.
That’s tremendous distribution exposure for Element’s Rejuvenate™ and great progress for Element, especially when you consider commercial production of Rejuvenate™ only began in November 2020 (less than 8 months ago).
Element’s CEO, Stuart Lowther, stated: “We have scaled our points of distribution for Rejuvenate™ products across North America at a very rapid pace and we have an innovative new product pipeline to increase the velocity of sales with these partners and to establish new relationships in North America and internationally.”
Element’s other key product is JAKTRX™. They are high performance supplements for crossfitters, weekend warriors and athletes of all types. JAKTRX PRO RECOVERY helps the muscles recover and build after workouts. JAKTRX™ can potentially follow next in Rejuvenates™ footsteps.
Element is rapidly achieving excellent distribution for its product Rejuvenate™ that supports muscle growth – This slide could also soon include Sam’s Club/Walmart and iHerb
The health and wellness industry is one of the fastest growing health sectors, with 49% of the population concerned about the effects of muscle loss. The North American dietary supplements market size is expected to reach US$68.22 billion by 2025, from around US$50 billion today.
Element Nutritional Sciences has developed a great muscle growth support product. They are “very rapidly” distributing and advertising their product(s) out for sale. Distribution is already with some of the biggest names in retail including CVS Pharmacy, Walgreens, Amazon, Sam’s Club (Walmart), Loblaws, Rexall, Metro, Shoppers Drugmart, Food Lion, and iHerb. Given the strong need for their product(s) it is more than likely that potentially strong sales will follow in the weeks and months ahead.
Trading on a market cap of approximately C$70 million and cashed up with a recent C$5 million private placement, it looks like nothing will slow them down. Fasten your seat belts for a very exciting year ahead for Element Nutritional Sciences.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment, and a Graduate Diploma in Financial Planning. He ... <Read more about Matthew Bohlsen>