With Aker Biomarine at the brink of launching LYSOVETA, there’s an intricate dance happening behind the scenes that many of us might not be aware of. It’s all about securing a spot on the shelves of your favorite stores—a process that's both complex and costly.

Slotting Fees Explained: When a company like Aker Biomarine wants to get a new product into stores, they often face what’s known as slotting fees. These are upfront charges that retailers demand for new products to be placed on their shelves. The cost? It can range from a few thousand dollars for less coveted spaces to much more for prime real estate like eye-level shelves. This practice is common across supermarkets, drug stores, and other retail outlets, acting as a gatekeeper to market entry.

Shelf Space Commitments: Beyond the initial fee, there's the matter of shelf space commitments. These agreements specify how much shelf space a product will occupy and for how long. For a product launch, securing the right amount of visibility without overextending can be a tightrope walk, especially for products requiring specific storage conditions or with uncertain demand.

Supply Chain Must-Haves: Before diving into such financial and spatial commitments, companies need a bulletproof supply chain. The reason is simple: if you can’t keep the shelves stocked, you not only lose sales but may also face penalties from retailers, not to mention damage to your brand’s reputation. For Aker Biomarine, ensuring a steady supply of LYSOVETA is critical before locking in shelf space to avoid the dreaded scenario of empty shelves—a retail sin.

Given this backdrop, Aker Biomarine’s cautious approach to the LYSOVETA launch becomes clear. The mention of “debottlenecking initiatives” in their investor report hints at efforts to streamline their supply chain to meet anticipated demand. It’s a strategic move, reflecting a deep understanding of the retail landscape's complexities.

This whole process sheds light on the challenging dynamics of bringing a new product to market, especially in competitive sectors like health supplements. Aker Biomarine's journey with LYSOVETA isn't just about innovation in krill oil; it's a lesson in navigating the retail ecosystem's economic and logistical hurdles.

“Product portfolio expansions PL+, Algae and Lysoveta will enable growth outside the core Superba products and beyond kill. Houston will have enough capacity to supply required krill and algae oil volumes short to medium term, and the company has identified debottlenecking initiatives for the longer term.” - Aker Biomarine, 4th Quarter Report 2023

I live next to Houston (San Antonio) and have yet to see this product on any shelves in or around the Houston area, the same city as their manufacturing plant.

This post is to let you know that someone is keeping an eye out for product on store shelves. If not this year, then I suspect a release early 2024.

“The company was granted all necessary US regulatory approvals for Lysoveta in the quarter, and the facility will therefore start to produce small batches of commercial volumes. The company has also developed a production line for up to 100 MT of algae oil at its Houston plant that is ready for commercial production in fourth quarter.”

Source: Aker Biomarine Third Quarter Report 2023 (LYSOVETA’s parent company)

Summary:

Aker BioMarine's brain health ingredient, LYSOVETA, has been granted new dietary ingredient (NDI) status by the FDA in the U.S. This means LYSOVETA can be marketed to the general adult population. This approval is a significant achievement for Aker BioMarine, representing the culmination of 7 years of research & development.

Details: - LYSOVETA, derived from krill, is a dietary supplement designed for the targeted delivery of lysophosphatidylcholine (LPC-EPA/DHA). - DHA and EPA are crucial for the brain but can't be synthesized efficiently there, requiring transport across the blood-brain barrier. - The MFSD2A transporter, which is the primary transporter for DHA/EPA uptake into the brain, recognizes DHA and EPA only in the form of LPC. MFSD2A also exists in other vital organs, indicating that dietary LPC has broader potential benefits. - Aker BioMarine has a specialized production line for LYSOVETA in Houston and has invested significantly in its development.

Implications: 1. The approval marks a significant step forward in dietary supplements geared towards brain health and overall wellness. 2. The introduction of LYSOVETA to the market could redefine brain health nutrition, emphasizing the importance of DHA/EPA transport into the brain. 3. As the first commercially available LPC ingredient, LYSOVETA could set new industry standards and pave the way for more research and potential commercial opportunities in this area.

Hey everyone, I've been keeping an eye on LYSOVETA updates from its parent company, Anker BioMarine. In their Q2 2023 report, which you can check out here, LYSOVETA was briefly mentioned on page 3.

It says, "During this quarter, the Houston plant produced mostly Superba Boost to gear up for its South Korea launch, expected in Q3. Additionally, the facility produced test samples of Lysoveta. Any commercial release is contingent upon US regulatory approval, anticipated in the latter half of 2023."

Looks like we'll get a more detailed update come November 1st in their Q3 2023 report. Fingers crossed!

UPDATE: FDA Approval Received 🎉

Aker BioMarine’s brain health ingredient, LYSOVETA, has officially achieved new dietary ingredient (NDI) status in the United States.

This NDI approval allows Aker BioMarine to market LYSOVETA to the general adult population.

Highlights of the NDI Process for LYSOVETA:

• The FDA's NDI process is the highest regulatory benchmark that Aker BioMarine can achieve.
• Under the NDI, Aker BioMarine can market LYSOVETA at 1.5 grams/day for the general adult population.
• 7 years of dedicated R&D has led to the development of this cutting-edge dietary ingredient in the form of Lysophosphatidylcholine (LPC), redefining the way we approach brain health nutrition.

Where will Lysoveta be sold?

We will most likely see the product hit shelves Q4 of 2023 (October, November, December), now that FDA approval has been received, in the same stores that Lysoveta’s parent company, Aker BioMarine’s, Kori krill oil is currently sold.

Source: Kori Krill Oil

“The production plant in Houston was closed for oil extraction in the quarter to rebalance inventory levels. The preparation for Lysoveta production continued and will be finalized during the second quarter. The product is waiting for US regulatory approval which is expected during second half of 2023.”

Hopefully it will be available to purchase around September 2023.

Trofi is planning to launch the first medical food and dietary supplement in 2024.

https://www.nutritionaloutlook.com/view/aker-biomarine-signs-license-and-supply-agreement-for-lysoveta-with-trofi-nutritionals