The Fiji Kava Ltd (ASX: FIJ) share price was sent rocketing in early morning trade. This comes after the health and wellness company announced that its products will be ranged in Australia's largest pharmacy retailer.
The Fiji Kava share price rose by as much as 26.9% earlier this morning before pulling back slightly to its current level of 15 cents, up 15.38%.
Expanded market presence
Investors appear excited about the company's latest prospect, sending Fiji Kava shares higher.
According to its release, Fiji Kava advised its suite of Noble Kava products will be stocked in Chemist Warehouse stores. The agreement seeks to boost Fiji Kava's market presence by offering more retail points of distribution and availability. Over 300 Chemist Warehouse stores across Australia and New Zealand will range the products throughout April and May.
The initial purchase order includes Noble Kava vegan extract capsules, as well as Noble Sleep, Noble Calm, and Noble Body.
Fiji Kava highlighted the pharmacy network as the single largest domestic channel for Australian consumers purchasing complementary and alternative medicines. A report published by Roy Morgan stated that 45% of people buy their vitamins, minerals and supplements through Chemist Warehouse.
Fiji Kava interim CEO, Nicholas Simms touched on the reputable relationship between consumers and pharmacies, saying:
Pharmacists are a key trusted source for people seeking remedies for sleep, mild anxiety other mind and body ailments. It's therefore not surprising that pharmacies represent the most prominent route to market opportunity domestically for Fiji Kava's natural Noble Kava products; with our research indicating that more than 40% of all sleep, mind and body health need purchases take place in this channel.
Simms went on to talk about the agreement, adding:
Securing ranging of Fiji Kava in Chemist Warehouse, the largest and most established pharmacy retailer in Australia, significantly expands our retail footprint in Australasia and enables us to reach more consumers of Kava and individuals seeking natural alternatives for issues such as sleep, anxiety and muscle relaxation.
About the Fiji Kava share price
The Fiji Kava share price has jumped more than 150% over the past 12 months, and is up 25% year-to-date. The company's shares reached an all-time high of 31.5 cents in late October 2020, before treading lower.
