Jamba Inc. (JMBA) said late Thursday it will buy the product
formulation and intellectual property for its Jamba All-Natural
Energy Drink from Nestle SA (NSRGY, NESN.VX) as part of its
expansion plan.
Jamba had collaborated with Nestle USA to launch the drink in
the Northeast and plans to expand its availability outside of the
region.
"We've previously used only licensing agreements for our
consumer packaged goods products. As we enter into the new phase of
our approach to CPG, we'll explore joint venture, co-pack
agreements and other sales and distribution arrangements to provide
us with increased control of our CPG products and enhanced
returns," said Chairman and Chief Executive James White in a
statement.
The deal is expected to close by June 20.
-By Sue Chang, 415-439-6400; AskNewswires@dowjones.com
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