Khiron Life Sciences (TSXV: KHRN) is going to Asia. The company announced this morning that it has signed a distribution deal for its Kuida CBD cosmetics brands with that of DNO Group, a leading distributor within the Asian market with over 50,000 points of sale within the Asian region. Distribution of Kuida products are expected to commence in the fourth quarter of 2020.
Under the distribution agreement, Khiron will see its Kuida line of skincare products sold through DNO Group’s network of pharmacy, beauty retail and online markets within the territory of Hong Kong. The agreement is a landmark for the company, given that the Asian region is the largest purchaser of skincare products, accounting for 53% of global sales.
The Hong Kong market itself contains a population of 7.2 million people, while also serving as an international hub for the mainland. Hong Kong itself is believed to have accounted for roughly $2.7 billion within the cosmetics and personal care segment in 2018 alone, while continuing to expand annually.
A total of seven SKU’s under the Kuida brand are to be distributed into the Hong Kong market by DNO Group under the distribution agreement. The first orders are anticipated to occur in the fourth quarter of 2020. The launch of Kuida products within the Hong Kong market will be supported by product training, CBD education, consumer marketing and brand activation.
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Khiron Life Sciences last traded at $0.48 on the TSX Venture.
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