Chill Brands appointed primary distribution partner by Relx International

(Sharecast News) - Chill Brands said on Monday that it has been appointed as primary distribution partner in the UK for Relx International, a "global leader" in the vaping sector. Under the terms of the agreement, Chill Brands will build a dedicated sales team to distribute Relx's UK-compliant pod system devices nationwide, with a primary focus on independent convenience stores, which it said was the "core strength" of the Chill Connect division.

"By combining Relx's global expertise with Chill Connect's specialist route-to-market capabilities, Chill Brands' board believes that this partnership is positioned to capture meaningful market share in the UK vape category," it said.

The first Relx stocks to be supplied by Chill Brands are expected to arrive in the UK this month, with the working capital required to execute the agreement to be financed through the existing inventory financing facility announced in December 2023.

Chief executive Callum Sommerton said: "This distribution agreement between Chill Brands and Relx International marks a significant milestone in our growth journey. Relx is a leading global vape company, and as their primary UK distribution partner we gain the opportunity to introduce a proven, science-led product range into one of the fastest-evolving vape markets in the world.

"With our established capabilities in convenience store distribution, Chill Brands is positioned to drive uptake of this product range."

Sommerton said the deal is expected to deliver a "material" increase in revenues for Chill Brands as the company expands Relx's market share in the UK through its dedicated sales team and specialist route-to-market capabilities.