BlueOcean NutraSciences Inc. Provides a Corporate Update Post Financing Close
January 17, 2017 (Source) — BlueOcean NutraSciences Inc. (“BlueOcean” or the “Company”) (TSX-V: BOC) is pleased to provide a corporate update, post the closure of its $2.5M Private Placement in December 2016.
Funding is now in place for both manufacturing and effectively marketing BlueOcean’s broadening suite of shrimp oil based supplements in 2017. Actions taken to date in 2017 include:
- New inventory of an upgraded Pure Polar(R) product line with improved formulas and packaging of all three SKU’s (Regular Strength, Double Strength and Extended Release) are being manufactured in Canada for delivery during the first quarter of 2017.
- Two additional brands, SportAXTM and JointAXTM are also being manufactured in Canada with brand specific formulas and packaging targeted at the large sports & fitness and joint supplement markets. SportAXTM and JointAXTM will both be launched in March, 2017.
- As previously reported in its news release dated December 20, 2016, BlueOcean has acquired 100% of the issued and outstanding shares of Pure Polar Labs Inc. (“Pure Polar”) from CMAX Technologies Inc. (“CMAX”) and Heuer M.D. Research Inc. (“Heuer”), thereby taking control of its retail fulfillment subsidiary to drive maximum value for BlueOcean shareholders.
- CMAX’s CEO Jeff Renwick and Dr. Marvin Heuer, CEO of Heuer have agreed to join BOC’s Advisory Board as experts in drug and supplement product formulation.
As previously reported in its news release dated January 12, 2017, BlueOcean has retained the Marketing services of Jurgen Pauquet on an interim basis to guide BOC’s E-Commerce, DRTV and other media marketing strategies. Jurgen was previously the SVP of Digital Marketing & E-Commerce International at Guthy Renker. Jurgen brings decades of successful E-Commerce experience to BOC’s core E-Commerce strategy, as well as DRTV, endorsements and other marketing initiatives that the Company plans to undertake in 2017.
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BlueOcean has now successfully implemented its complete production value chain including third-party shrimp shell feedstock relations and patented shrimp oil processing, consumer brands product encapsulation and packaging, and sales fulfillment, all supported by its marketing strategy to drive sales of its various consumer shrimp oil brands. This has led to the following management reorganization:
- Sam Kanes, founding Director of BlueOcean, takes on the role of VP, Strategy and IR; and
- Dil Vashi has been promoted to VP Business Operations.
2017 Sales Outlook
The global market for bulk ($150M 2016 est.) and retail ($1B 2016 est.) krill oil supplements has stabilized and is now growing at an estimated 13% compound average growth rate (“CAGR”) (Persistence Market Research). The global retail market for natural astaxanthin (“AX”) supplements (primarily derived from microalgae) is estimated to be worth $100M (2016 est.) and continues to rise sharply with forecasts of up to 15% CAGR through 2023 (Global Market Insights). While the supply of natural astaxanthin continues to increase, the demand for the product is also increasing in sync, thereby maintaining the high value of the product.
All BlueOcean product SKUs contain shrimp oil, which has a natural combination of both phospholipid omega-3s as in krill, and high levels of natural astaxanthin. SportAXTM and JointAXTM SKU’s will compete directly against algae based AX in the sports/fitness and glucosamine-dominated joint supplements markets, broadening BOC’s product lines and target markets beyond the heart health market that krill only focuses on.
Pure Polar(R) and new SKU orders from larger Canadian and US retail chains are targeted to close by June 30, 2017 with September/October 2017 delivery dates. BlueOcean will use its current limited shrimp oil inventory made from the 2016 season, to fulfill its growing E-Commerce business.
BlueOcean NutraSciences Inc. is a Canadian listed public Company that is focused on developing sustainable, specialty nutraceutical products targeted at the rapidly growing natural health products markets, with a current focus on the $4B omega-3 heart health supplement market, the $9Bn joint health market, and the $10B sports supplement market. BlueOcean’s proprietary shrimp oil ingredient contains high levels of naturally occurring astaxanthin, phospholipids, and omega-3 EPA and DHA, enabling the product to be targeted across all three markets described above.
BlueOcean’s consumer brand, Pure Polar(R) Omega-3 Shrimp Oil, contains over two times more omega-3 EPA & DHA and 10 times more astaxanthin than typical retail krill oil brands, and contains phospholipids for better absorption of the essential nutrients. Pure Polar(R) may be purchased at www.purepolarshrimp.com, www.vitaminworld.com. www.luckyvitamin.com, www.amazon.com and www.inboxfitness.com.
This news release may contain forward-looking statements that are based on BlueOcean’s expectations, estimates and projections regarding its business and the economic environment in which it operates. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements. Statements speak only as of the date on which they are made, and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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