Business Overview
Nutritional Choice Australia Pty Ltd (“NCA”) owns a milk powder mixing, packaging and wholesaling business with a range of products for sale in Australia and internationally.
NCA has Australian and Chinese (CNCA) operating licenses.
NCA produces various iterations of:
• Milk powder
• Infant formula
• Flavoured milk powder
• Adult nutritional powder
• Protein powder
• Whey powder
• Colustrum powder
Demand for these products is exceptionally high in China and within Chinese communities worldwide. In addition, new markets such as the middle-eastern countries are showing increasing demand for high grade milk powder products. The prices charged for Australian and New Zealand milk powder products in international markets are 2 – 3 times higher than can be achieved locally, making export significantly more attractive than production for domestic markets.
NCA has the capacity to produce 864 containers per annum (at 48 weeks x 6 days), each of 17,772 x 900g tins. NCA’s factory is highly automated and requires only supervisory and logistics staff to operate. NCA has low fixed costs of just under $2.8 million per annum (inclusive of premises and equipment rental payments and employment costs) and has a break even point of $10.4 million in gross sales (around 52 containers, depending on product mix).
All customers pay deposits prior to production commencing and pay the balance prior to despatch of goods.
Investment Opportunity
This opportunity is available to sophisticated investors only.
Please contact BPS Advisory for more information.
