Hydration solutions company The Hydration Pharmaceuticals Company Limited (ASX: HPC) has entered into a binding deal memorandum with prominent North-American actress and entrepreneur Ms Shay Mitchell.
Under the agreement, Ms Mitchell will become a brand ambassador for the company, as well as an equity partner.
Ms Mitchell is a Canadian born actress, model and mother. She has a significant social media presence, boasting over 32.5 million Instagram followers, three million Twitter followers, 4.23 million YouTube subscribers and over 6.8 million followers on TikTok.
She has approximately three times the Instagram following of some of America’s most prominent athletes and almost forty times the following of some of Australia’s leading online entrepreneurs. Ms Mitchell is best known for her roles in Pretty Little Liars and You and is currently starring in Hulu’s Dollface. She has also had considerable success as an entrepreneur, having launched BEIS Travel in 2018, a luggage and accessories company, as well as co-founded a tequila seltzer company, Onda, in 2020.
Under the agreement with Hydralyte North America, Ms Mitchell will become a brand ambassador for the Company, as well as an equity partner. She will be issued new fully paid ordinary shares equal to USD$250,000 by no later than April 5, 2022 at a deemed issue price per share of the 10-day VWAP immediately prior to the date of the agreement, which will be subject to voluntary escrow.
Ms Mitchell will also be issued a further grant of shares equal to USD$250,000.
As part of her role, Ms Mitchell will help broaden the brand awareness consulting on social strategy, using her own social channels and curating promotional events. Hydralyte North America will also collaborate with Ms Mitchell to create a new flavour of Hydralyte specifically designed for the actress.
Product development work is currently underway. Hydralyte North America is confident that Ms Mitchell’s appointment has the ability to unlock a number of value accretive opportunities. The company anticipates that the agreement will also provide access to a large addressable market through her established social media following in North America.
Shay is a superstar. She has a track record of building brands with style, passion, fun and most importantly authenticity. Her track record in the luggage and RTD seltzer space speaks for itself and it’s no coincidence that her activity in these categories perfectly overlap with Hydralyte consumption occasions,” Hydralyte North America CEO Oliver Baker said:
“Importantly, Shay is Canadian born, which provides us with a unique opportunity to work with her in one of our larger operating markets. Her follower base also contains a large proportion of our target demographic. This gives us a very unique opportunity to not only market directly to these individuals, but also create a product in collaboration with Shay to drive potential sales growth.
“More broadly, we see a number of opportunities which Shay can help grow awareness of our health hydration solution across difference market segments, including general wellness, postexercise, travel, immunity and recovery.”