In: Operations Management
Using any information source, perform a desk research about Neptune Wellness Solutions Inc. :
products and/or services
distribution channels
prices
promotions an communications
markets and market segments
competition
growth strategies
innovations, new products and/or services
environment (political, economic, social, technological, environmental, legal)
Neptune Wellness Solutions is a health and wellness products company with more than 50 years of combined experience in extraction, purification and formulation of value-added differentiated science-based products.
Products and/or
services
Neptune Wellness has
expertise in Three Main Areas:
Cannabis /
industrial hemp extraction:
Neptune's wholly-owned subsidiary, 9354-7537 Québec Inc., is licensed by Health Canada to process cannabis at its 50,000-square-foot facility located in Sherbrooke, Quebec. Neptune also has a 24,000 square-foot facility located in North Carolina to process hemp biomass into extracts. Neptune brings decades of experience in the natural products sector to the legal cannabis and hemp industries. Leveraging its scientific and technological expertise, Neptune sees applications for hemp-derived extracts in the U.S. beyond existing markets and product forms and into personal care and home care markets.
Turnkey solutions:
Neptune develops product
concepts in collaboration with our customers (branded marketers) as
turnkey finished supplements that are ready for sale under their
brand, primarily as soft gels, capsules, liquids and powders.
Through a global network of suppliers, Neptune sources ingredients
and formulate the ideal product. The ingredients are sent to
third-party manufacturers, where the formula is developed and then
packaged.
Nutrition
Products Neptune specializes in the development
and commercialization of turnkey supplements in various delivery
forms. They source the finest ingredients from verified suppliers
or formulate using their proprietary, branded ingredients to create
ideal products that are ready for sale under our customers'
brand.
Pet
Supplements: Comprising superior ingredients,
Neptune’s 100% natural and scientifically formulated pet
supplements offer human-grade quality ingredients in a variety of
concentrations.
Consumer Brands
Forest RemediesNeptune produces high-quality hemp-derived
products from hemp that is grown exclusively in the U.S. They are
also involved in all phases of making their own finished products,
from contract farming, processing, formulating,
testing, packaging and distributing a consumer-ready
product to their customers.
Ocean RemediesOcean Remedies' mission
is to promote sustainable, marine-based supplements that support
healthy people and ecosystems while delivering access and
life-changing vitamins to people in need. Ocean Remedies products
are available to consumers in the U.S. for direct
purchase.
OCEANO3Made from Antarctic krill, a sustainable and non-genetically-modified source of omega-3 fatty acids, Neptune’s OCEANO3 Krill Oil is available to consumers in Canada for direct purchase or to distributors as a wholesale opportunity.
Competition
Aurora is Neptune's biggest rival. Aurora was founded in 2013, and is headquartered in Vancouver, British Columbia. Aurora competes in the Pharmaceuticals industry. Aurora generates $194.1M more revenue vs. Neptune.
Supreme Cannabis is one of Neptune's top competitors. Supreme Cannabis's headquarters is in Toronto, Ontario, and was founded in 1979. Supreme Cannabis operates in the Medical Research & Laboratories industry. Supreme Cannabis generates 95% of Neptune's revenue.
Canopy Growth is seen as one of Neptune's top competitors.
Canopy Growth is a Public company that was founded in 2012 in
Smiths Falls, Ontario. Canopy Growth is in the Biotechnology field.
Compared to Neptune, Canopy Growth has 4,816 more
employees.
Growth strategies through new product line/services
Neptune Wellness Solutions Inc. has announced that its Sherbrooke, Quebec facility started to process biomass using its new cold ethanol equipment. Combined with Neptune's CO2 extraction line, the Company's capacity to process biomass is expected to reach an annual run rate of 200,000 kg by the end of November 2019. As indicated previously, Neptune's current capacity, including the phase II expansion, is fully committed to existing clients.
Cold ethanol process combined with the high level of automation of Neptune's Sherbrooke facility should position the Company as a low-cost manufacturer in Canada.
Neptune has also in the process of transforming into crude oil extract that has the potential of obtaining a value of more than $20 million. The company aims to reach a total extraction capacity of 3 million kg of biomass annually to be delivered evenly between Canada and the U.S.
Environment (political, economic, social, technological, environmental, legal)
Neptune Wellness Solutions (originally Neptune Technologies and Bioresources) was founded by Henri Harland and Luc Rainville in 1998. The Canadian biotech company conducted some of the first research on the health benefits of krill oil and the unique, absorption capacity of its “phospholipid” molecular structure and the fats contained within it. Neptune secured a family of patents - for an extraction process as well as composition and method of use.
In 2002, the company pioneered the production and extraction of Antarctic krill oil. In 2003, after constructing a new facility in Sherbrooke, Quebec, Neptune launched its first product, Neptune Krill Oil, creating a new omega-3 category, manufactured using acetone as a solvent.
In 2012, an explosion in Neptune’s processing plant resulted in three deaths and halted production at the facility. Following the accident, the company spent two years rebuilding the plant and was required to meet several safety conditions before resuming production in 2014.
In 2017, Neptune essentially exited the bulk krill oil manufacturing and distribution business, selling its client list to its main competitor, Aker BioMarine of Oslo, Norway, for $34 million. The company invested the proceeds of the sale toward the $70 million conversion project of its Sherbrooke facility to process cannabis biomass using new cold-ethanol technology and rebranded to Neptune Wellness Solutions.