Jamba Inc. and Core-Mark Holding Company Inc. have signed a non-binding memorandum of intent to establish a relationship to offer and deliver health-oriented Jamba branded food and beverage consumer products to Core-Mark serviced convenience retail locations.
The parties aim through this collaboration to strengthen Core-Mark’s fresh and health-oriented food and beverage product offering to its convenience store customers and expand Jamba’s consumer product offerings in support of Jamba’s strategic goal of building a consumer products growth platform.
The intent of this memorandum is to provide an outline for the establishment of a three year relationship, which would give Core-Mark the generally exclusive distribution rights of the Jamba-branded products to the convenience store retail channel. The parties intend for the Jamba-branded products to be manufactured by Jamba’s existing and new licensees, joint venture partners, and co-manufacturers.
“We believe there is an untapped opportunity to satisfy the convenience store customer looking for fresh and healthy food and beverage products,” said J. Michael Walsh, CEO of Core-Mark Holding Company Inc. “A Jamba Juice consumer products line will help us capture this opportunity.” Core-Mark services about 24,000 convenience retail locations throughout the U.S. and Canada.
“We look forward to expanding Jamba’s brand accessibility and product usage occasion by offering unique, great tasting, and health-oriented food and beverage consumer products through this channel,” said James D. White, President and CEO Jamba Inc. “Core-Mark, in their position as a major broad-line distributor to the convenience retail channel, offers Jamba the opportunity to reach thousands of new customers.”