Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Shares in Bubs Australia jump on exports to United States, Biden tweet

Published 05/29/2022, 11:02 PM
Updated 05/29/2022, 11:05 PM
© Reuters. FILE PHOTO: U.S. President Joe Biden speaks at the U.S. Naval Academy graduation and commissioning ceremony in Annapolis, Maryland, U.S., May 27, 2022. REUTERS/Elizabeth Frantz/File Photo

(Reuters) - Shares in Bubs Australia surged on Monday after U.S. health authorities approved imports of its infant formula to help address a severe shortage and U.S. President Joe Biden tweeted "the good news".

Bubs plans to ship at least 1.25 million cans of its baby formula and has 500,000 tins ready for immediate export.

It shares were up 40% or 19 cents at A$0.68 in early afternoon trade, valuing the company at A$417 million ($300 million).

The U.S. baby formula crisis was triggered when Abbott Laboratories (NYSE:ABT) in February recalled dozens of products after customers complained of infants contracting bacterial infections.

© Reuters. FILE PHOTO: U.S. President Joe Biden speaks at the U.S. Naval Academy graduation and commissioning ceremony in Annapolis, Maryland, U.S., May 27, 2022. REUTERS/Elizabeth Frantz/File Photo

The U.S. Food and Drug Administration said on May 19 Abbott was on track to reopen its key baby formula plant in Michigan within one or two weeks.

($1 = 1.3931 Australian dollars)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.