SHANGHAI, Feb. 12 // PRNewswire // -- General Nutrition Centers, Inc. (GNC), a leading global retailer of nutritional products, announced today that it, together with its parent company, has entered into a memorandum of understanding to form a strategic partnership with Bright Food (Group) Co., LTD (Bright Food). The partnership, to be named GNC China, will participate in China's nutritional products market. Bright Food, a leading state-owned conglomerate in China's food industry, is a direct subsidiary of Shanghai Municipal government and the State-owned Assets Supervision and Administration Commission of Shanghai Municipal Government. Shanghai Yantang Group, a wholly owned subsidiary of Bright Food, will be responsible for undertaking the collaboration with GNC.
"Based on our research on the nutrition industry in China, GNC believes there are significant growth opportunities in the PRC marketplace. We look forward to working with Bright Food, which has strong product, distribution and retail capabilities in China. GNC also shares an important strategic goal with Bright Food: to provide healthy and safe products for consumers in China and to participate in a key governmental initiative to focus on health and wellness," said Joe Fortunato, Chief Executive of GNC. "Our partnership with Shanghai Yantang Group will lay a solid foundation for GNC's market entry into China. We believe Chinese consumers will bring GNC products into their daily lives and we hope to raise levels of health awareness in China."
The collaboration between Shanghai Yantang Group and GNC marks an important development for Bright Food, which was established in August, 2006. "Bright Food's joining hands with GNC represents our company's formal entry in nutritional products, which will be a core strategic industry for Bright Foods. With China's GDP and consumer expenditure taking off in recent years, there are tremendous growth opportunities for nutritional products in China. And with the food safety laws that began to be implemented in 2009, food safety issues and health awareness have been elevated to a new height," commented Mr. Zongnan Wang, Chairman of the Board of Bright Food. "As a pioneer in the Chinese food industry, Bright Food has won the trust and preference of Chinese consumers. At the moment of this key industrial development, we believe that Bright Food must take on the responsibility to help guide the nutritional products industry forward. We strive to set a new benchmark for the PRC nutritional products industry through this collaboration with GNC, which will promote a sustainable and healthy development of the nutrition market."
The two companies expect to complete the formation of a joint venture and product launches by mid 2010. GNC China will promote the "GNC" brands in China's large to medium-sized cities and examine potential development opportunities in retailing, distribution and production when conditions permit.
GNC offers a family of comprehensive and competitive nutrition products, which includes over 1,000 products including diet, sports nutrition, male and female health, brain supplements, sleeping aid, natural herbal extracts, vitamins, and minerals. GNC products are sold in over 47 countries around the world.
"Bright Food's partnership with GNC in nutritional products will not only introduce GNC's popular products into China, but we will also seek GNC's assistance to improve and upgrade selected Bright Food products. In the future, the products of GNC and Bright Food's health related products will be sold in a wide range of retail formats in China," said Mr. Junjie Ge, Vice President of Bright Food and Chairman of Shanghai Yantang Group. Mr. Ge also stated: "Bright Food's collaboration with GNC is in line with our group's strategy of aligning with outstanding companies in various industries. The GNC partnership in the nutrition industry is expected to be a core focus for Bright Food and a key growth factor for our business."
About GNC
GNC, headquartered in Pittsburgh, Pa., a leading global specialty retailer of nutritional products including vitamin, mineral, herbal and other specialty supplements and sports nutrition, diet and energy products. As of September 30, 2009, GNC has more than 6,700 locations, of which more than 5,300 retail locations were in the United States (including 919 franchise and 1,814 Rite Aid franchise store-within-a-store locations) and franchise operations in 47 international markets. The Company - which is dedicated to helping consumers Live Well - also offers products and product information online at www.gnc.com.
Bright Food (Group) Co., Ltd.
Bright Food (Group) Co., Ltd. established on August 8, 2006, is a modern urban industrial conglomerate with developing food industry chain as its core industry, and integrated with primary, secondary and tertiary industries. The company owns four listed companies that include Bright Dairy & Food Co., Ltd., Shanghai Malin Aquarius Co., Ltd. and Shanghai Haibo Co., Ltd., and possesses a number of Chinese famous brands and Shanghai well-known trademark such as "Guangming"(Bright), "Guanshenyuan", "Dabaitu"(Big White Rabbit), "Malin", "Zhengguanghe", "Shikumen" and "He-wine", etc. The company also has approximately 4,000 retail chain stores with a wholesale distribution network throughout the country, like "Nonggongshang", "All Days", "Wuyuan", "Kedi", "Guangmin", "Jieqiang" and Shanghai First Provisions Store Co., Ltd.
Shanghai Yantang Group
Shanghai Yantang Group is a wholly-owned subsidiary of Bright Food (Group) Co., Ltd. The company is affiliated with several leading companies in food industry, including Jin Feng Rice Wine Co., Ltd. (listed company), the largest national sugar production and circulation enterprise-Oriental Pioneering Sugar & Wine Co.,Ltd. one of the largest national food wholesale company – Shanghai Nanpu Foodstuff Co., Ltd. and Shanghai First Provisions Store Co., Ltd. The company is actively engaged in a major overseas acquisition program
SOURCE General Nutrition Centers, Inc.
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