A report that an Australian outfit, the aptly named Bubs company, is planning to ship at least 1.25m cans of its baby formula to the US to help ease a nationwide shortage saw a spike in the a2 Milk company’s shareprice on Monday this week.
US president Joe Biden announced the deal in a tweet at the weekend, saying the company would deliver 27.5m bottles, the equivalent of the 1.25m cans reported by Bubs.
“We’re doing everything in our power to get more formula on shelves as soon as possible,” he said.
The NZ Herald reported the news that Bubs had found a way to enter the notoriously difficult American market “was well received” by dual-listed infant formula exporter a2 Milk investors who bid the stock up 10.2%.
The Herald explained that both Fonterra and a2 Milk have also applied to the US Food and Drug Administration for approval to supply infant formula to the nation. Continue reading “Bubs breaks into the US baby-formula market – here’s hoping a2 Milk and Fonterra can latch on to the opportunities”