My Foodie Box (ASX:MBX) has successfully commenced trading on the ASX following a successful IPO which was oversubscribed and raised $6 million through the issue of 30 million shares at $0.20 per share.
Notably, the listing was backed by a strategic cornerstone investment from Magnet Investments, the parent company of The Mix Australia, the sole Australian and New Zealand Thermomix distributor.
My Foodie Box CEO, Parisrat (Mai) Hughes, says the Mix Australia was introduced to the company following opening of the Offer and, since that time, the parties had various discussions on how a relationship could be mutually beneficial, including cross-selling and cross-pollination of each businesses subscriber bases, joint product development and joint marketing efforts.
Ms Hughes said the details of a strategic partnership will be negotiated and announced when concluded but synergies and benefits were immediately obvious to both parties.
My Foodie Box is a food and logistics technology business focused on providing meal kits to Western Australian households using local ingredients sourced from ethically responsible local farmers and producers. The company is seeking to expand its operations and product offering to become a broader e-commerce business.
The parties consider the investment to be a significant first step towards establishing a strategic long-term relationship. However, investors should note, at this stage, Magnet Investments has only formally agreed to invest under the Offer and there is no certainty of any further collaboration.
About My Foodie Box
MBX is a food technology business focused on preparing and delivering meal kits to customers in Western Australia, with intentions to expand both its offerings and its markets.
The Company sources, prepares and delivers quality, local ingredients straight to the doorsteps of its customers, aided by its technology platforms. With a focus on provenance, the Company’s meal kits are sourced from ethically responsible local farmers and producers and delivered in compostable, recyclable and reusable packaging.
The Company spent its formative years on research and development and building its ecommerce platform and supporting systems required for operations.
Full trading operations commenced in January 2019 with 35 subscribers. Since this time, MBX has grown rapidly and the Company now has in excess of ~1,650 active subscribers, delivering on average ~1000 boxes per week.
The meal kits are offered on a weekly subscription-based model with the price per meal ranging between approximately $8 to $13 plus a standard delivery charge. In addition to meal kits, customers can also add staple pantry items (such as milk, eggs, olive oil, butter and salt and pepper) as well as add-on fruit and snack boxes to their delivery.
The meal kits segment is an emerging market which has seen Australians increasingly shift their grocery habits to incorporate meal kits which are a convenient, healthy and environmentally friendly alternative.
The meal kit market is comparatively young compared to the established groceries, takeaway and restaurant markets and its exact size is more challenging to forecast. However, the online grocery market in Australia (a subset of the grocery market) was estimated to be valued at $7.1bn and grew 46.2% in 2021.