Happiness Biotech Skyrockets 16% on Launching Disinfectant Sales
The nutraceutical and dietary supplements producer has sold out its first batch of 2 million bottles of alcohol disinfectants
The stock in Happiness Biotech Group Ltd. (Nasdaq: HAPP) skyrocketed 16% to $4.88 per American depositary share by midday on Tuesday after the company announced it will sell disinfectants.
The Nanping-based nutraceutical and dietary supplements producer said in a statement today that on its launch day, the company sold out its first batch of 2 million bottles of alcohol disinfectants. Happiness Biotech has started shipping the products this week.
Before the sale, Happiness Biotech received a Sanitation License of Disinfection Product Manufacturer from the Fujian Provincial Heath Commission, which allows the company to produce disinfectants. That includes 75% alcohol disinfectants and hands-free disinfectants.
"We are honored to shoulder the responsibilities to alleviate the supply shortage of epidemic prevention supplies such as disinfectants. Although we are a GMP certified company, we have upgraded and transformed our workshop and production procedures during the application process to meet all the requirements to be a qualified disinfectants manufacturer," Xuezhu Wang, the chief executive officer of Happiness Biotech, said in a statement today.
He added, "We will do our best to produce as much as possible disinfectants products and nutritional products during the epidemic period, and contribute to the prevention and control of the Novel Coronavirus."
Established in 2018, Happiness Biotech conducts its business mainly through its wholly-owned subsidiary, Fujian Happiness. According to its corporate website, Happiness has a product portfolio that includes 32 types of nutraceutical and dietary supplements.
For January, Happiness Biotech said that its revenue from its nutritional product that improves body resistance soared more than 100%. In the six months through June, Happiness reported that its revenue was $31.4 million, which was the same in the corresponding period in 2018.
Happiness Biotech hit a 30-day high of $5 per share on Tuesday. This month, Happiness Biotech's stock has traded from $3.41 per share to $5 per share.