GenTech's
SINFIT Acquisition Reports Tremendous Sales Growth in US as
More Stores Come Online and New Worldwide Sales Contracts are
Signed, Provides Guidance for 2020
NEW YORK, NY
-- June 25, 2020 -- InvestorsHub NewsWire
-- GenTech Holdings, Inc. (OTC
PINK:
GTEH) ("GenTech" or the "Company"),
an emerging leader
in the high-end Premium Coffee and Functional Foods
marketplaces, is pleased to provide current and
prospective shareholders with an update outlining the Company's
recent acquisition of Sinfit Nutrition (Sinfitnutrition.com)
("Sinfit"), a top-5 functional food
brand currently sold in over 10,000 global physical and e-commerce
stores across more than 10 countries around the
world,
including details related to GenTech's successful initial month of
operational control of the Sinfit brand.
David Lovatt, CEO of GenTech, stated "We spent months negotiating
this deal to achieve best shareholder value possible. The deal was
closed
less than
a
month ago
and we are already
seeing incredibly strong International
revenues. When the transaction
closed, GenTech received c.$70k in accounts receivable,
c.$70k in inventory, and more than $100k
in
packaging, as well as all customer relationships, IP,
web presence, and goodwill in a deal that was cash
only.
The former
owner trusted us to actualize the
tremendous potential of the Sinfit brand and I am confident we will deliver on that
trust provided. Our US sales team is just
starting to ramp up, and our analysis suggests very promising signals from US
distributors already very familiar with the brand as stores open
back up and inventories are thin at best. I think I can already state
that this was an extraordinarily productive use of $250,000
in
cash
to acquire
SINFIT."
Management importantly notes that the
Sinfit
brand brought in
$2.2 million in revenues in 2019.
Also, in its release dated June
22nd, the Company announced that it
was fielding international purchase orders of $80,000 from UAE and
$70,000 from Singapore. Since that release, the Company is now
fielding additional international purchase orders, including
$50,000 from a Mexican distributor and $70,000 from a Canadian
distributor.
The Company believes strongly in the
functional foods market opportunity based on a number of powerful
trends.
Functional food, defined as
conventional and modified foods that include additional health
benefits beyond basic nutrition, saw sales top $267 billion in
February of this year on a global basis, with sales in the US
reaching $63 billion, according to Euromonitor 2020. Global sales of organic food
and drink topped $105 billion, up 6% in 2018 (Ecovia 2019). U.S. organic food sales
reached $47.9 billion, up 5.9% in 2018 (OTA 2019). In 2019, 77% of
U.S. adults used dietary supplements, an all-time high (CRN 2019).
U.S. supplement sales are estimated to have reached $49.3 billion
in 2019, up 6.2% (NBJ 2019).
"I think the majority of the investing
public still do not fully appreciate the scale and
trajectory in play right now in the functional foods market
opportunity," continued Lovatt. "It's enormous, and only getting bigger
every
year. It's
also a tremendous sign that emerging markets
in
Asia
are now the fastest
growing regional markets for functional foods, with China leading
the way. That suggests we have only just scratched surface in terms
of where this is headed over the foreseeable
future. And
we now possess a true Top-five brand
with
an already
established global network of distribution
relationships."
About
GenTech Holdings, Inc.:
GenTech Holdings, Inc. is a publicly
traded company under the symbol
GTEH. The Company launched a high-end Coffee Subscription
service in early 2020 called Secret Javas and has recently closed
on its acquisition of Sinfit Nutrition, which offers
a range of high-end
Functional Foods.
Forward-Looking Statements
This press release may contain
forward-looking statements, including information about
management's view of GenTech, Inc.'s future expectations,
plans and prospects. In particular, when used in the preceding
discussion, the words "believes," "expects," "intends," "plans,"
"anticipates," or "may," and similar conditional expressions are
intended to identify forward-looking statements. Any statements
made in this news release other than those of historical fact,
about an action, event or development, are forward-looking
statements. These statements involve known and unknown risks,
uncertainties and other factors, which may cause the results
of GenTech, its subsidiaries and concepts
to be materially different than those expressed or implied in such
statements. Unknown or unpredictable factors also could have
material adverse effects on GenTech's future results. The
forward-looking statements included in this press release are made
only as of the date hereof. GenTech cannot guarantee future
results, levels of activity, performance or achievements.
Accordingly, you should not place undue reliance on these
forward-looking statements. Finally, GenTech undertakes no obligation to
update these statements after the date of this release, except as
required by law, and also takes no obligation to update or correct
information prepared by third parties that are not paid for
by GenTech.
Corporate
Contact:
invest@gentech.group
www.gentechholdings.com