NuGene International Inc (OTCBB:NUGN) an entity developing and marketing advanced skin and hair care products using adipose derived stem cells of human reported that it has finalized a memorandum of understanding with Bassett Salon Solutions, a distributor firm of high-end beauty product line to more than 7,000 salon customers in the U.S.
Under the deal, Bassett will test market NuGene line of products. If the assessment is successful, Bassett will distribute and launch the company’s product line to all of its customers by 1Q2016. The test marketing of product line to Bassett’s clients will initially commence with two accounts. If the experimental launch is well received by retail clients, Bassett plans to include more accounts scaling up to the 1Q2016 launch.
The expert speaks
Ward Bassett, the CEO and Founder of Bassett Salon, said that they have spent numerous months researching NuGene’s line of products, the concept of stem cell that defines them and the data of company-sponsored trials on the effectiveness of the products. They have visited the facility, gone through the entire story, sampled the goods, and they agree that both the companies can well complement each other. The management believes that NuGene International has attractively packaged premium products that will be well received by the accounts Bassett Salon serve.
The management view
Ali Kharazmi, the CEO and co-founder of NuGene, said that they identified Bassett Salon early on as a perfect fit to distribute and launch company’s product line based on their excellent industry reputation. Their size, well-informed account reps and skill to market to high-end customers make them an excellent partner. They look forward to commencing a mutual and long prosperous association.
NuGene International Inc (OTCBB:NUGN) took another step down in continuation of the long term downtrend and saw the end of the session with a loss of 11.96%. The volume surged to a comparative high of 155,000 against the daily average of 70,000, not very notable numbers in itself but from the perspective of the declining volume pattern of the last few months, a spike indeed. The capitulation is on with the scared investors dumping off the stock. The decline of the price is perfectly contained in a channel, as shown on the chart attached and that signals the possibility of much more downside pending.