Manchester-based THG is expanding its global footprint with a major new licensing deal that will bring its flagship brand Myprotein to more consumers in South Korea.
The agreement is with SG Safety Corporation, the distribution and business development arm of South Korean conglomerate CJ Group, who will manufacture a selection of Myprotein products under license within South Korea.
These will include bars, snacks, ready-to-drink options and various sports nutrition supplements, tailored for local preferences and manufactured closer to the end consumer.
Key product lines like protein powders will still be produced by THG, but SG Safety will now take on the role of distributor across South Korea, giving THG a way to expand in one of its most promising international markets.
The timing of the move is strategic, with South Korea’s sports nutrition sector worth an estimated $1.88bn in 2023, which is projected to grow to around $3.05bn by 2030.
The new deal will see Myprotein broaden its reach across local eCommerce platforms, tapping into South Korea’s consumer base, while also building a presence in brick-and-mortar retail – a first for the brand in this territory.
“South Korean consumers have already shown a strong affinity for Myprotein and we’re pleased to be building on that momentum through this partnership,” said Neil Mistry, CEO of THG Nutrition.
“Working with SG Safety Corporation, a specialist distribution and business development division within CJ group, gives us the ability to reach more customers, more efficiently.
“This collaboration will strengthen our presence in one of Myprotein’s most important markets, while also creating new opportunities to grow across established and emerging product categories, and to extend our reach across both offline and online channels.”
Jung-Hyun Sung, CEO of SG Safety Corporation, added: “We’re excited to be partnering with THG PLC to expand access to Myprotein across South Korea.
“The demand for trusted, high-quality nutrition products continues to grow, and this agreement allows us to meet that demand through local expertise in manufacturing and distribution, supported by the strength of the Myprotein brand.
“We look forward to working with THG PLC to build a strong and scalable presence in the South Korean market.”
THG was founded by Matt Moulding and its share price currently stands at 30p, giving it a market cap of £420m.