US-based Restorsea has been granted certain global and channel exclusivity for the use of Aquabeautine XL in its new line of skin care products.
In return Aqua Bio Technology will receive minimum payments totalling $20.7 million (€16.2m) over the next six years, representing consideration for the global exclusivity and minimum royalty.
“The contract is the definitive international breakthrough for Aqua Bio Technology. The agreement with Restorsea will provide a significant revenue increase,” said ABT’s CEO Arvid Lindberg.
“It also serves as a reference point for the cosmetics industry as we move forward in launching new ground-breaking marine ingredients for skin care products.”
Lindberg explains that the contract will provide revenues of more than one million dollars in the second half of 2012.
As it turns out, the US customer who signed a two million dollar contract with ABT earlier this year, was also Restorsea.
ABT explains that the previous agreement is now included in the latest contract, and prevents ABT from pursuing sales of Aquabeautine XL to new customers, but does allow for cooperation with US direct sales company Amway to remain intact and unaffected.
Restorsea will launch its Aquabeatine XL-containing skin care products at New York’s exclusive Bergdorf Goodman department store on Fifth Avenue, and online, in October this year.
The news comes during a busy period for ABT, having expanded its footprint in marine-based biotechnology products with the launch of three new ingredients earlier this month.
The company says that it decided to expand its portfolio on the back of the success of Aquabeautine XL, and showcased its new range at the forthcoming Beyond Beauty show, which opened in Paris on September 10th.