Else Nutrition Increases Production Capacity to Satisfy the Increasing Strong Demand

Rhea-AI Summary

Else Nutrition Holdings Inc. has announced the opening of a second powder production facility in the US and the start of manufacturing in Europe, more than tripling its production capacity. This expansion aims to meet increasing retail demand and resolve past out-of-stock issues, as the company has conducted multiple production campaigns in early 2023. With plans for continued accelerated production throughout the year, Else seeks to stabilize its inventory levels to support growth and fulfill robust customer demands. CEO Hamutal Yitzhak emphasized the importance of these facilities for future success in the expanding market.

Positive

• Expansion of production capacity by more than three times with new facilities in the US and Europe.
• Resolution of prior out-of-stock issues through multiple production campaigns.
• Plans to maintain an accelerated manufacturing pace throughout 2023.

Negative

• None.

• Else adds a second US powder production facility and begins manufacturing in Europe, tripling its production capacity.
• Else increases production pace to end out-of-stock and build up inventory levels.

VANCOUVER, British Columbia, March 02, 2023 (GLOBE NEWSWIRE) -- ELSE NUTRITION HOLDINGS INC. (BABY) (BABYF) (0YL.F) ("Else" or the "Company"), announces that it has begun manufacturing in a second powder production facility in the US and that it will perform the first commercial production in Europe in March 2023. The additional production facilities more than triple Else’s production capacity.

Until the end of 2022 Else Nutrition had a single powder manufacturing plant that supported its sales in North America and globally. The addition of the two new production facilities will allow Else to satisfy the fast-growing retail demand from brick-and-mortar retailers and online sales from Amazon and Else’s e-store. The additional production will reduce the risk of future out-of-stock dramatically.

In January and February Else performed two commercial production campaigns in the US, resolving many out-of-stock issues. In March Else will perform three additional production campaigns, two in the US and one in Europe, resolving all remaining out-of-stock issues. Else plans to continue its accelerated manufacturing plan throughout 2023 to support the growing demand and to establish a higher level of available inventory.

“The additional production facilities will allow us to stabilize our production and build up sufficient inventory levels to meet the robust demand from our customers.” - Hamutal Yitzhak, Else's CEO, and Co-Founder. “We are excited to have entered a new phase in our journey, where leading grocery and mass North American retailers are now adding our products to their shelves, our ability to properly support this fast-growing demand is critical for our success.”

For more information, visit: www.elsenutrition.com or follow Else Nutrition on LinkedIn

About Else Nutrition Holdings Inc.
Else Nutrition Holdings Inc. is a food and nutrition company in the international expansion stage focused on developing innovative, clean, and plant-based food and nutrition products for infants, toddlers, children, and adults. Its revolutionary, plant-based, non-soy formula is a clean-ingredient alternative to dairy-based formula. Else Nutrition (formerly INDI) won the "2017 Best Health and Diet Solutions" award at Milan's Global Food Innovation Summit. The parent company, Else Nutrition Holdings Inc., is a publicly traded company, listed on the Toronto Stock Exchange under the trading symbol BABY and is quoted on the US OTCQX Market under the trading symbol BABYF and the Frankfurt Stock Exchange under the symbol 0YL. Since launching its Plant-Based Complete Nutrition for Toddlers, made of whole foods, almonds, buckwheat, and tapioca, the brand has received thousands of powerful testimonials and reviews from parents, gained national retailer support, and achieved rapid sales growth. Else became the #1 Best Seller on Amazon in the Fall of 2020 in the New Baby & Toddler Formula Category. It won the 'Best Dairy Alternative' Award 2021 at World Plant-Based Expo and was a Nexty Award Finalist at Expo West 2022 in the Plant-Based lifestyle category. During September 2022 Else Super Cereal reached the #1 Best Seller in Baby Cereal across all brands on Amazon.

Investor Relations Contact:

RBMG – RB Milestone Group LLC
Trevor Brucato, Managing Director
E: Baby@rbmilestone.com
www.rbmilestone.com

Lytham Partners, LLC
Mr. Ben Shamsian
New York | Phoenix
E: shamsian@lythampartners.com
P: 646-829-9701

TSX

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Caution Regarding Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements are typically identified by words such as "will" or similar expressions. Forward-looking statements in this press release include statements with respect to the anticipated dates for filing the company's financial disclosure documents. Such forward-looking statements reflect current estimates, beliefs, and assumptions, which are based on management's perception of current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. No assurance can be given that the foregoing will prove to be correct. Forward-looking statements made in this press release assume, among others, the expectation that there will be no interruptions or supply chain failures as a result of COVID-19 and that the manufacturing, broker, and supply logistic agreement with the company does not terminate. Actual results may differ from the estimates, beliefs, and assumptions expressed or implied in the forward-looking statements. Readers are cautioned not to place undue reliance on any forward-looking statements, which reflect management's expectations only as of the date of this press release. The company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/6d511d18-ab3a-4f24-a37f-244bc33d412a

FAQ

What recent expansion did Else Nutrition Holdings Inc. (BABYF) announce?

Else Nutrition announced a second powder production facility in the US and the commencement of manufacturing in Europe, which triples its production capacity.

How does Else Nutrition plan to address out-of-stock issues?

The company has successfully conducted several production campaigns to resolve previous out-of-stock issues and plans to continue this approach in 2023.

What is the production capacity increase for Else Nutrition (BABYF)?

The new facilities will more than triple Else Nutrition's production capacity.

When did Else Nutrition start its production campaigns in 2023?

Else Nutrition began its production campaigns in January and February 2023 and has additional plans for March.