Monday, 23 November 2015 09:58

Top nutritionals exporter seeks growth capital

Written by 
Infant formula accounted for 36% of NIGN's $35.4 million revenue for the year to the end of June 2015. Infant formula accounted for 36% of NIGN's $35.4 million revenue for the year to the end of June 2015.

New Zealand manufacturer of nutritional and wellness products, NIG Nutritionals (NIGN), is seeking capital to help it meet strong demand from China and wider Asian markets.

NIGN is currently a wholly owned subsidiary of New Image Group. Director Alan Stewart says it is looking for a partner excited by NGIN's recent rapid growth and the further potential for its products, especially from the change to China's "one child" policy and Asia's aging populations' nutritional needs.

"New Image Group has been manufacturing in New Zealand and exporting nutritional and wellness products for more than 30 years," Stewart says. "However, following CNCA (Certification and Accreditation Administration of the People's Republic of China) registration, making us one of a select few New Zealand companies fully licensed to export infant formula into China, we have experienced strong demand."

Infant formula accounted for 36% of NIGN's $35.4 million revenue for the year to the end of June 2015. Those sales included its goat milk-based infant formula brand, Baby Steps.

"Full integration from research and development, strategic partnerships with goat milk suppliers, wet blending, manufacturing and packing ensures end-to-end quality and control of the process," Stewart says.

Whole and skim milk powder products contributed 25% to revenue, nutritionals and wellness products 10% and a further 29% of revenue was derived from contract manufacturing for the parent group's MLM subsidiary New Image International.

In August, Frost and Sullivan named New Image the New Zealand Nutritional Product Company of the Year. The international, strategic growth firm said New Image was evaluated on a variety of actual market performance indicators which include revenue growth, market share and growth in market share, leadership in product innovation, marketing strategy and business development strategy.

PwC has been appointed to manage the capital raising process and seek an investor with a minimum investment of NZ$10 million.

Stewart says the percentage of shareholding available in NIGN is open at this stage. Potential investors will be required to sign a confidentiality agreement to receive the company's Information Memorandum, after which they are invited to submit an indicative, non-binding offer.

More like this

NZ wine grapples with oversupply despite export gains

The large 2025 harvest will exacerbate the wine industry's "lingering" supply from recent vintages, New Zealand Winegrowers Chief Executive Philip Gregan told attendees at Grape Days events around the country in June.

Featured

Fencing excellence celebrated

The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards, providing the opportunity to honour both rising talent and industry stalwarts.

B+LNZ launches AI assistant for farmers

Beef + Lamb New Zealand has launched an AI-powered digital assistant to help farmers using the B+LNZ Knowledge Hub to create tailored answers and resources for their farming businesses.

National

Machinery & Products

JDLink Boost for NZ farms

Connectivity is widely recognised as one of the biggest challenges facing farmers, but it is now being overcome through the…

New generation Defender HD11

The all-new 2026 Can-Am Defender HD11 looks likely to raise the bar in the highly competitive side-by-side category.

» Latest Print Issues Online

Milking It

Buttery prize

OPINION: Westland Milk may have won the contract to supply butter to Costco NZ but Open Country Dairy is having…

Gene Bill rumours

OPINION: The Gene Technology Bill has divided the farming community with strong arguments on both the pros and cons of…

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter