iPower Inc. (IPW) stock surged 5.24% in the current-market trading session at the price of $3.01 after launching its new nutrient product line “Flourish” on Amazon. iPower Inc. is the leading online retailer of hydroponics supplies and accessories in the United States.
IPW Launched “Flourish” on Amazon
On 9th December 2021, IPW reported that it had launched its first line of advanced nutrient products “Flourish” on Amazon. The initial line contains six SKUs of both fertilizer and nutrient categories with products varying from plant supplements and cloning gels to plant fertilizer. In addition to promoting the brand on social media platforms, the company intends to ramp advertisement on Amazon. The company also expects to offer its new Flourish line of products to Zenyhdro.com and other channel partners.
Chief executive officer of IPW, Lawrence Tan, remarked that they are delighted to launch their unique nutrient product line. They believe this will be the first set of many new SKUs that they introduce within the category of fertilizer and nutrients. Fertilizer and nutrient sales have roughly 20% contribution to their total revenue. The launch of these branded products provides a strong prospect for both revenue growth and margin development, he added.
In addition to the economic benefits, the Flourish suite of products also provides significant value to the home farmer. These products had designed to fit the needs of both home growers and commercial agriculturists. IPW looks ahead to serving its clients with valuable hydroponic products at a reasonable price, he concluded.
$25M Credit Facility with JPMorgan Chase
On 15th November 2021, IPW announced entering into a $25M secured credit facility with JPMorgan Chase Bank. The three-year credit facility also presents an accordion feature to borrow an additional $25M. More details about the company’s credit agreement are available on Form 10-Q filed with the Securities and Exchange Commission (SEC) on 15th November 2021.
Lawrence Tan commented that this credit facility is an essential part of their capital structure as it enables them to fund growth and execute strategic projects. They look ahead to supporting their product research and merchandising expertise to launch more SKUs, he added.