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The Company estimates the one-year agreement will deliver between CAD$650,000 and CAD$1,300,000 revenue with expected gross margins of 25% to 30%. SmartPac and good natured® are well positioned to deliver on demand for eco-friendly food service packaging alternatives to traditional, petroleum-based packaging.
“We’re excited to partner with the team at good natured® in an effort to transition some of our plastic food and beverage packaging to plant-based alternatives,” said Carey Edwards, President & CEO of SmartPac Inc. “Our customers are asking us for more eco-friendly options, and this partnership will allow us to offer a wider range of custom-made earth-friendly packaging to our already large customer base.”
Paul Antoniadis, CEO of good natured®, added: “It’s a real pleasure to be working with an industry leader like Carey and his growing team at SmartPac to make more plant-based products and packaging available to customers in the United States and Canada. It’s commercial agreements like these that reinforce our commitment to being a leader in the development and distribution of renewable, sustainable products and packaging in North America.”
This news comes after the Company’s recent announcements outlining the acquisition of Shepherd Thermoforming & Packaging Inc. and the signing of multi-year commercial agreements with two U.S food producers to supply plant-based packaging, delivering between CAD$1.7 million to CAD$2.0 million in organic growth on an annualized basis. The Shepherd acquisition is subject to certain closing conditions and is expected to close by the end of April 2020.
About good natured Products Inc.
good natured® is producing and distributing one of North America’s widest assortments of better everyday products® made from the highest possible percentage of renewable, plant-based materials and no BPAs, phthalates or other chemicals of concern potentially harmful to human health and the environment.
By combining cutting-edge renewable material technology and the latest sustainable features, good natured® creates eco-friendly products and packaging that can do good for the planet, good for human health and good for business by focusing on innovative designs, minimizing waste and improving logistics, all bundled up in a fresh and friendly brand.
For more information: goodnatured.ca
About SmartPac Inc
Smartpac, Inc., located in Bridgeton, MO., operate a plastic and paper converting facility focused on renewable materials for single use disposable biodegradable and compostable packaging products. Smartpac Inc., is proud to be partnering with good natured products, a truly innovative and eco forward company, to support the reshoring of North American
packaging. Our partnership will support the advancement of bio based materials to reduce our reliance on oil based raw materials and protect or environment.
On behalf of the Company:
Paul Antoniadis – Chief Executive Officer
1-877-286-0617 ext. 113
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibilities for the adequacy or accuracy of this release.
Cautionary Statement Regarding Forward-Looking Information
Information in this news release regarding estimates of future sales constitutes forward-looking information within the meaning of securities laws. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
Such factors include, among others, the risk that future orders may not be placed by the customer due to loss of business to our competitors, replacement of our products with substitutes, a downturn in general economic, market and business conditions or in our customer’s business specifically, disruptions relating to the COVID-19 virus and government restrictions relating thereto or otherwise and that as a result, actual sales may be lower than estimated.
When relying on the Company’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company has assumed that the material factors referred to in the previous paragraph will not cause such forward-looking statements and information to differ materially from actual results or events. However, there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
Other than as required under securities laws, we do not undertake to update this information at any particular time.
Forward-looking information contained in this news release is based on our current estimates, expectations and projections regarding, among other things, sales volume and pricing which we believe are reasonable as of the current date. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this news release is expressly qualified in its entirety by this cautionary statement.