Incanthera PLC (AQSE:INC) has announced a deal for the launch of its Skin + CELL skincare range with Marionnaud Switzerland and Austria, part of the A.S. Watson Group, while it said it had also raised £1 million through the issue of new shares.
The Skin + CELL range, representing Incanthera's foray into high-end skincare, utilises innovative formulation and delivery expertise to bring scientifically backed products to the cosmetic industry.
"Today's announcement marks a huge milestone for Incanthera. A truly transformational moment for the company and for our longstanding and very supportive shareholders," said chairman Tim McCarthy.
"This is the culmination of many years of innovative research and development, hard work, and ultimately successful negotiation of the introduction of our Skin + CELL product range into the extensive store network of Marionnaud and A.S. Watson, the undisputed global leader in health and beauty retailing."
The partnership with Marionnaud, a player in the global health and beauty retail sector, is anticipated to significantly boost Incanthera's revenues and profitability from 2024 onwards.
This commercial arrangement is managed through Skin and Cell AG, Incanthera's wholly-owned subsidiary based in Switzerland.
It will initially see Skin + CELL available exclusively in Marionnaud's stores in Switzerland and Austria from the second quarter of 2024.
Subsequent expansion to the rest of Marionnaud's European stores, followed by rollouts across Asia, is expected later in the year.
Further highlighting Incanthera's commitment to quality and excellence, the manufacturing, quality control, and packaging of Skin + CELL have been subcontracted to Frike Cosmetic AG, Switzerland's leading skincare contract manufacturer.
Incanthera's fundraising effort, meanwhile, exceeded expectations as it issued new stock at 7p - a modest premium to Friday's close.
This cash infusion will be pivotal in meeting the manufacturing demands for the initial launch in Switzerland and Austria and supporting future expansion.
"I take this opportunity to recognise the patience of our longstanding shareholders and our advisers and to thank you for your unwavering support," said chairman McCarthy.
"I am also delighted at the enthusiasm and support received in the fundraise we have just achieved and to welcome new investors to Incanthera.
"This fundraise has received unanimous support including new and existing long-standing holders and institutional investors, which evidences the strong recognition of the scale of this commercial deal and its potential impact on the future of Incanthera.
"We now look forward to delivering on our promise to build great value creation through our innovative technology and its introduction into the global market."