Bellamy’s purchases Braeside canning plant

July 5, 2017 by  

Infant formula firm Bellamy’s has bought a canning facility in Melbourne’s Braeside.

With its purchase of the Melbourne canning plant, the organic-oriented firm has obtained an export licence that will facilitate trade with China – an achievement that will likely be celebrated by using newsletter printing.

Bellamy’s has now stepped into the manufacturing world for the first time. Andrew Cohen, the chief executive at Bellamy’s, said:

“This is a great start, a reset for Bellamy’s; the purchase [of the Braeside plant] provides a great foundation for us to go forward, although it’s a pathway that is not finished.”

Bellamy’s is still an enterprise in transition. It has a new chairperson, John Ho, and faces a specific challenge in terms of selling its products in Chinese markets. This is because of the need to secure mandatory licences for these items. Nevertheless, it is possible that this obstacle will be surmounted by the beginning of February 2018, paving the way for increased international trade.

The restructuring of Bellamy’s meant that the business has had to make a significant investment to obtain the canning factory. As a result, the potential for profit this year has been downgraded. However, Cohen notes that the balance sheet of his business is moving in the right direction, drawing attention to an improvement in the area of cash flow.