Delivering better nutrition & health: Gummygels Technology

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1 Delivering better nutrition & health: Gummygels Technology

2 Alinova started operations manufacturing candy gummies for the Colombian market ALINOVA FACILITY - History Manufacturing of Multivitamin & Mineral Gummies for the North American Market (USA) Plant was audited for the UK market (Boots). Development of Omega 3 Gummies Development & Manufacturing of Fiber and Sugar-free Gummies. In 2009 Alinova was integrated to Procaps Group. In 2010, we exported our first gummies to the Mexican market. INVIMA Certification. In 2012 we developed Multivitamin and Fiber gummies for diabetic patients Manufacturing capacity increase. SAP Implementation. CONFIDENTIAL

3 ALINOVA FACILITY Current Capacity Manufacturing Molding Drying Sanding (sugar)

4 ALINOVA FACILITY Quality & Certifications BPM INVIMA HALAL Kosher Certified Gelatin ORGANIC HACCP

5 Gerente País/Country Manager (GP) Jorge de los Rios Director Logistica./ Logistics Head (JL) D. Castillo Director de Planta/ Plant Manager (DP) C. Garces Director Técnico/Technical Manager (DT (A)) A. Ocampo Planeador / Planner L. Garcia Supervisor de Bodega Warehouse supervisor J. Renteria SUB(A) Jefe de Planta/ Plant Head (JDP) M. Pascuales Coordinador de Mantto Maintenance Coordinator A. Castillo Coordinador de I&D (CID(A)) N. Pinzón / L. Dominguez / J. Cano Aux. de Bodega AB (A) (3) Warehouse Assistant Operario/Operator (140) Supervisor SPV (A) (3) Electromecánico ELE (A) Electromechanical (5) Analista de I&D (AI&D) G. Bernal / D. Garcia ALINOVA FACILITY Corporate Organization Op. de Maquina/ Machinist (3) Digitador (DIG) (2) Aux. de Laboratorio I&D (TDL) C. Lozano / N. García

6 ALINOVA FACILITY - Quality Chart Inspector/ Quality Inspector (INSP) M. Vasquez/ K. Avendaño / N. Pinto / J. Moncaleano Gerente País/ Country Manager (GP) Jorge de los Rios Gerente de Calidad/ Quality Manager (GTCAL) Yadira Ortogostia Jefe de Garantía de Calidad / Head of Quality Control CGC(A) Yohana Contreras Analista de Documentación/Quality Analyst (ADOC) C. Contreras Técnico de Laboratorio/ Laboratory Analyst (TDL) Diana Mendez

7 Fun-Trition Platform

8 THE FUN-TRITION PLATFORM Nutrition is easier when it s fun! The Fun-trition platform offers an innovative and more attractive alternative of delivering VMS, maintaining the effectiveness of the traditional VMS pharmaceutical form. Our Fun-trition portfolio covers the latest dosage forms that rank among the most commonly used form by consumers, which are also experiencing the largest growth among formats in the category With Fun-trition, our mission is to deliver better nutrition & health trough innovative platforms, and allow our customers to become a standout player within their field.

9 HOW WE DELIVER FUN-TRITION Health Issues Trends Think B2C Eating Habits Nutritional Concerns Consumer Behavior Product Concepts Technical Support Act B2B Product Development Brands Formulations Quality & Safety

10 GUMMIES Supplements Growth Gummies are an innovative, more attractive alternative of delivering VMS, maintaining the effectiveness of the traditional VMS pill. Gummies or soft chew supplements rank second place in the most commonly used form by consumers, and at the same time are experiencing the largest growth among formats in the category. Source: World Health Organization. WHO Technical Report Series, No. 953, 2009

11 GUMMIES Supplements Growth Gummies have moved past multivitamins into almost every segment: Fiber, heart health, vision health, prenatal, weight control, sport nutrition, sugar free. It is very surprising the popularity of this format among adults. CONFIDENTIAL

12 GUMMIES Supplements Growth Some of this growth can be attributed to the transformation of traditionally confectionery gummies to health and wellness for the use in adult and children s vitamins 50% of sweet consumers want to see more of such products. 71% of year olds are more likely than other age group to eat jelly-style sweets. 61% Of parents with children ages 5-9 years old are interested in sweets. SILESIA. Confectionery Market overview worldwide. Jan 2016

13 GUMMYGELS delivery system Actives 3 10% Vitamins Minerals Herbal extracts Proteins Omega Water 16 18% Bulk-Sweetener Agent 65-75% Sugar/ Corn Syrup Polyalcohols Sugar free Organic Sweetener: Tapioca Syrup, Rice Syrup and Org Cane sugar Flavor, color, acids Intensive sweeteners 2 4% Gelling agent 1 7% Gelatin Agar-agar Pectin Starch CONFIDENTIAL

14 Gummies delivery system Gummy Benefits Active Convenient and Healthy Product Innovative possibilities Market opportunity to differentiate Consumer friendly and appealing products Added value Alternatives: Non-Animal derived, Non GMO, Organic, 100% natural, sustainable, allergen free, sugar free. Source: FONA INT. Gummy Cathegory Insight. CONFIDENTIAL

15 TYPES OF These are the most popular gummies and its body is obtained from the mixture of: sugar, glucose and gelling agents. An amount of sugar and/or glucose has been partially replaced by another component with the purpose of reducing the input of calories or reduce the glycemic index. Gummies with fiber : Gummies in which all sugars in the formulation have been replaced. The most frequently used replacements are: xylitol, sorbitol, mannitol, malititol and erythritol. These can be declared on the label as sugar-free and low calorie. Gummies that contain inulin, FOS y polidextrose bring a dietary fiber contribution to the organism, meaning that gummies that come with these components are gummies with fiber. CONFIDENTIAL

16 CONSUMER preferences Other delivery systems VS No water needed. No swallowing difficulties. Less gastrointestinal side effects. Format that allows to take them anytime, anywhere. Replacement for an unhealthy snack or instead of desert. A tasty and effective alternative.

17 ADVANTAGES OF OUR More than 10 years of experience in the field. More than servings sold. Our use of PET trays provides an advantage in quality and aesthetics versus the cloudy appearance often seen with starch. Interdisciplinary Research and Development Group, with expertise in nutraceuticals, confectionary and pharmaceutical processes. Improved formulation development in innovative flavors & textures Experience in logistics for international shipments. More than servings per year. CONFIDENTIAL

18 COLORS and Flavors Colors: Natural/ Natural(synthetic) Artificial Artificial colors: Yellow # 6 Red # 40 Blue # 1 Pink Flavors: Natural: Extracted directly from its natural source or WONF (with other natural flavors) Artificial: Synthesized or identical in profile to its natural flavor. Natural colors without preservatives Carmine /lycopene ( red) Paprika /Beta carotene (orange) Turmeric (yellow) Synthetic natural colors CONFIDENTIAL

19 SHAPES and Sizes

20 OUR products are * * Artificial colors and flavors are available if requested

21 Packaging Options Plastic Bag x 12 sachets Display box with bag Doy Pack Display box with window Plastic Bomboniere Mini Bags or sachets Candy mini packs Bottles CONFIDENTIAL

22 FUN-TRITION PLATFORM AROUND THE WORLD Lituania Multivitamins, Echinacea, Acerola U.K. Multivitamins, Menthol USA Calcium, Energy, Fiber, Multivitamins, Vitamin C, Vitamin D, Omega, Probiotics Mexico Calcium Honduras Vitamin C Spain Fiber Corea Omega, Vitamin C Guatemala Fiber, Multivitamins, Vitamin C, Omega Salvador Fiber, Multivitamins, Vitamin C, Omega Peru Fiber, Multivitaminis, Vitamin C, Omega Colombia Collagen, Biotin, Fiber, Vitamin C, Multivitamins, Propolis, Zinc, Vitamin D, Calcium, Probiotics Brazil Calcium, Fiber, Multivitamins, Vitamin C, Vitamin D, Zinc Australia Natural Cranberry, Probiotics, Collagen

23 Some of our Customers CONFIDENTIAL

24 Thank You! Let s stay in touch! Follow us!

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