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Forbidden Foods teams up with Walmart supplier KeHe to sell its Blue Dinosaur protein bars in the US

Americans will now be able to indulge in Blue Dinosaur vegan protein bars with premium food company Forbidden Foods (ASX: FFF) going global having teamed up with US grocery network KeHe Distribution to sell its Blue Dinosaur products in the United States. 

This deal is a major retail moment for Forbidden Foods as it indicates the success of its expansion strategy. KeHE will stock all four Blue Dinosaur products which were included in the successful product manufacturing trials in the United States conducted in May 2022. 

KeHe is among the largest and most reputed grocery distributors in the United States, with over 30,000 store locations in the distribution centre network. It supplies to 23 of the top 50 retailers in North America, including the likes of Walmart, Associated Food Stores, Albertson’s, Safeway, HEB and Publix. 

Pointing to the deal, Chief Executive Officer, Marcus Brown shared, “We are pleased to announce [the] completion of the next stage of our Blue Dinosaur North America roll-out, with Forbidden Foods now set up in KeHE nationally.” 

KeHe is one of the top distributors of natural and organic products and offers a strategic advantage for Forbidden Foods as it already caters to the target demographic of Blue Dinosaur products. 

Brown added, “Earlier this year we announced we had established a network of reputable brand brokers to represent Blue Dinosaur® to key retailers in the US market. Being set up and having stock available in KeHE means we are ready to supply any new customers with ease.” The two companies will also be working together to promote Blue Dinosaur products.

Since acquiring Blue Dinosaur in October 2021, the Company has remained focused on making it a global sensation. Besides its US expansion, in May of this year, the Company also launched Blue Dinosaur products in Malaysia—its first export agreement into Asia. 

Given the rise of health-conscious consumers, Blue Dinosaur expects to see a significant opportunity for health-based snack bars worldwide. The Company has the capacity to rapidly scale the brand in the US after recent achievements including the establishment of local US manufacturing capabilities, and now securing a national distribution partner in KeHE. 

“The next stage will be to successfully complete the first commercial scale production run of the products in the United States, which will be used to fulfil into KeHE and to satisfy demand from online sales,” he detailed. 

The Company is attempting to secure leading retailers to sell its products over the coming months. Discussions with many major retailers are already underway. At the moment, Forbidden Foods is unable to calculate its expected revenue amount from this venture. It does note that if things don’t go as planned, both companies may terminate this agreement at any time. 

The first commercial scale manufacturing run of the Blue Dinosaur products in the United States is scheduled to be completed in September 2022. From October 2022, all four Blue Dinosaur bars will be available to order for KeHE customers. 

Alinda Gupta

Alinda is a Business Reporter for The Sentiment

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