First released by: Beijing Business Today

On November 21, By-health declared on the investor interaction platform that the company has made preparations for the offline sales of Life-Space probiotic products in health food or ordinary food forms in China. In 2019 Life-Space will continue to expand cross-border e-commerce business and promote in the Chinese market through drugstores, supermarkets, maternal and child channels, and etc.by virtue of channel advantages.

By-health replied to a question from a user with the ID "cninfo458968" , who was confused about whether the existing products sold in Life-Space’s Tmall official overseas flagship store and Tmall international official direct-sale store could be sold directly in the domestic offline channel and whether they need to be re-registered.

In January, By-health announced that it would buy 100% stake of Life-Space Group Pty Ltd in cash in an effort to improve its layout in the global dietary supplement market segment and explore new growth opportunities. The announcement showed that Life-Space Group Pty Ltd was one of the largest enterprise in Australia's probiotics market, and its main brand is Life-Space, with products covering all age groups. In 2014, Life-Space entered the Chinese market through cross-border e-commerce.

This is a high premium acquisition of 3.461 billion yuan, which is 101 million yuan higher than the net asset evaluation result of of Life-Space Group Pty Ltd, an increase of 34.11 times. Since a joint venture of By-health’s was previously liquidated due to disagreements over business development, the high premium acquisition has also raised concerns about By-health's follow-up management.

In 2016, By-health set up a joint venture company-- Bounty of Health （Hong Kong） Company Limited with Hong Kong Bairui company to strengthen the cross-border e-commerce business. However, due to major differences between the two sides in operation and supply chain, the joint venture was declared liquidation and cancellation in August, 2018.

In addition, the reporter learned that a product can be sold in drugstore as health product only after obtaining the health product license document issued by The State Administration for Market Regulation, namely "the Blue Hat". Generally, in order to obtain  "the Blue Hat", the brand needs to pay 500,000 to 1 million yuan for each SKU in average, and the approval takes 1-2 years.