Nuheara Limited (ASX:NUH) (Company or Nuheara) announces that it has secured a three-year Global Supply Agreement (Agreement) with Switzerland-based company Sonova AG (Sonova). Under the Agreement, the Company will supply Nuheara manufactured and branded products to Sonova and its affiliates worldwide.
Headquartered in Stäfa, Switzerland, Sonova is a global supplier of hearing care solutions. The group operates through its core hearing aid brands and its audiological care business brands – AudioNova, Geers, Boots Hearingcare, Lapperre, World of Hearing, and Connect Hearing. Sonova reaches its customers through multiple channels, including online and via 3,200 clinics / Points of Sales (POS) in over 100 countries globally, including circa 140 POS in Australia operating under the Connect Hearing brand.
Under the Agreement, Nuheara will initially supply its products to Sonova entities in the USA and Australia. Other global regions will follow, with Europe, UK, and Canada the priorities, as Nuheara establishes trading entities in those regions/countries.
Commenting on the Agreement, Nuheara Co-founder and CEO Justin Miller said: “We are delighted that Nuheara’s range of hearing products will now be available for purchase through Sonova’s Audiological Care businesses globally. Sonova is the largest manufacturer of hearing aids in the world, and the second largest globally in audiological care with more than 3,200 Points of Sale. They are the global leader in hearing health care, and we couldn’t ask for a more qualified global sales channel partner as we continue to rollout Nuheara’s omni-channel sales strategy.
“The Agreement reflects our many years of hard work developing innovative hearing products as well as Nuheara’s reputation for quality in the global market. Our initial deployment will see Nuheara products available at Sonova’s Audiological Care businesses in the USA, Australia, and online, while we work through establishing trading entities in other regions and countries to extend the deployment globally.”
Key terms of the Agreement
Key terms of the Agreement entered into by Nuheara and Sonova include:
· Nuheara to supply its manufactured and branded products to Sonova and its Audiological Care business brands via their online stores and 3,200 clinics / Points of Sale;
· Mutually non-exclusive;
· Initial term of three years;
· The Parties may mutually agree, in writing, to extend the Agreement beyond its initial term;
· No volume commitments – there is no minimum or maximum contract value;
· Either Party may only cancel the Agreement via breach of performance or change of control.
Other terms and conditions usual for an arrangement of this type are included in the Agreement.