Comvita postpones capital raise as strong demand continues

23 March 2020

Comvita postpones capital raise as strong demand continues


Comvita Limited (“CVT”) is continuing to experience strong demand for its complete range of products (in particular
Mānuka honey, Propolis, Fresh-Picked™ Olive Leaf Extract) from all markets over the last month. For example, we are
seeing the best sales of Fresh-Picked™ Olive Leaf Extract in over seven years. We see good evidence that consumers are
actively choosing products considered to support general immunity. We have good stock levels in market to support
this demand and are in the process of moving extra inventory into market. At this stage there are no supply or logistic
constraints, although this may change as the world’s response to COVID-19 changes.

In addition, this year’s Mānuka honey harvest is looking very positive with volumes improved by around 50% over the
prior season including improved average UMF™ quality profile. Testing of all new season honey will be concluded by the
end of April.

We continue working on our $15m cost out and business transformation programme. Benefits are already starting to
show for the business, although the full impact of these initiatives will only become obvious in the 2021 financial year.

Against this backdrop and the very difficult stock market conditions generally, the Comvita Board has decided to
postpone the previously announced capital raise to existing shareholders until market conditions have stabilised.
Comvita is currently trading profitably, is generating positive operating cashflows and paying down debt.

Ends.


For further information
Comvita CEO, David Banfield, 021 041 5630

Background information
About Comvita (www.comvita.co.nz)
Comvita (NZX:CVT) is a global natural health company committed to the development of innovative products, backed by
ongoing investment in scientific research.