Under the terms of the sale agreement, HBA is granted a licence to distribute Innoxa product in consideration for paying a royalty to Metro Cafe of 10% of net sales price achieved on product sales.
Metro Cafe is associated with William McCartney, a director of the Company.
The sale is subject to some conditions which the Directors of the Company expect to be satisfied in July 2024.
The decision to sell the Innoxa brand followed a review of the Company's brand portfolio, which review determined that Innoxa was a non-core brand. The sale of the Innoxa brand will allow HBA to concentrate on its core brand priorities.
About Heritage Brands Limited:
Heritage Brands Ltd (NSX:HBA) showcases products that tell a distinct Australian narrative in their innovativeness and provenance. With the best quality ingredients, the products have earned a permanent spot in Australian women's vanity tables and are passed down from generation to generation.
Its flagship brands include skincare and cosmetics line INNOXA and aromatherapy range In Essence. Heritage Brands' biggest names under its umbrella are cosmetics label Australis and tanning and sun protection line Le Tan.
Source:
Heritage Brands Limited