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Hi-Tech Pharmaceuticals Expands With Opening of West Coast Distribution Center

NORCROSS, Ga., April 11, 2017 /PRNewswire/ -- Hi-Tech Pharmaceuticals ("Hi-Tech"), a leading global provider of Sports Nutrition products, Contract Manufacturing, and Over-The-Counter Pharmaceuticals announced today the grand opening for a new distribution center located on the West Coast. Operations are slated to begin as early as May of this year to support the ongoing expansion and growth of Hi-Tech. Hi-Tech has distribution and manufacturing sites in Georgia and Pennsylvania already, and this will be Hi-Tech's third national distribution center. The distribution center will be using cutting-edge technology and will significantly improve logistics as well as meet the demand of our growing customer base.

Dave Nelson, Vice President of West Coast Operations, is "Very excited to announce the launch of a new distribution center on the West Coast. This new facility will enhance our logistic capabilities and better facilitate our customers evolving needs. With the West Coast operation Hi-Tech will have 1-2 day service whether shipping by UPS or common carrier to most of the country. Not only that, but we are also helping the local job market by bringing in a new workforce."

The new D.C. adds an additional 30,000 square feet of warehousing capacity and contains future plans that will allow for expansion to double that capacity. "We expect roughly 25-30 percent of our shipments to be made from the West Coast location, while 70-75 percent would continue coming from either our Pennsylvania or Georgia corporate headquarters in Norcross, GA," stated David Bromwich, Vice President of Project Management for Hi-Tech. The company will also have space available in our West Coast facility dedicated for future sales staff expansion.

Hi-Tech Pharmaceuticals' revolutionary line of nutraceutical products is at the forefront of the dietary supplement industry. Hi-Tech holds a key position as the leader and the innovator of natural, proprietary, and preventative healthcare products. Hi-Tech boasts a portfolio of over 100 state-of-the-art nutritional supplements that offers real solutions in the areas of muscle and strength development, fat loss, sexual performance and healthcare. Hi-Tech develops world-class, novel nutraceuticals that are "Found in Nature...Backed by Science™." Hi-Tech is dedicated to setting a higher standard of scientific excellence for the dietary supplement industry. Hi-Tech's product line is aimed at improving life-quality and our nutraceuticals are unmatched in quality and efficacy, yet without pharmaceutical prices! Hi-Tech responds to the varying nutrient demands of men and women, from an active lifestyle to that of the well-conditioned athlete.

Strategic Overview

Hi-Tech's recent acquisition of Nittany Pharmaceuticals in Reedsville, Pennsylvania (Hi-Tech's primary contract manufacturer of dietary supplements in the 1990's before Hi-Tech began manufacturing their own line of dietary supplements). Nittany was an enormous acquisition as Hi-Tech gained 200,000 square feet total in September 2012. Hi-Tech also expanded its Pennsylvania warehouse another 80,000 square feet in 2016 after the Gaspari Nutrition merger. Hi-Tech's desire to open a West Coast distribution center was in large part due to the acquisition of  iForce in 2016. Hi-Tech's strategy to capitalize on its increased manufacturing capacity. Recently, Hi-Tech completed its 50,000 state-of- the-art facility in Suwanee, Georgia and added 42,000 square feet to its warehousing capacity to bring the total square footage in Georgia to over 200,000 bringing Hi-Tech to a total of 480,000 square feet, which brings Hi-Tech to the very top of the supplement industry!

Hi-Tech's acquisition of Nittany Pharmaceuticals, a manufacturer of OTC and prescription drugs, energy shots, and premium shelf stable beverages made with hot fill and aseptic technology allowed Hi-Tech to enter the liquid manufacturing business immediately. This also allows Hi-Tech to diversify into OTC and Prescription drugs in the future. The RTD business and shot business will enhance Hi-Techs' capabilities in the rapidly growing area of nutritional beverages and energy shots. In recent years, Hi-Tech established itself as a turnkey nutritional supplement development partner with several companies. The acquisition of Nittany Pharmaceuticals expanded Hi-Tech's capabilities in the beverage area, fitting well with Hi-Tech's core strengths in providing value added solutions to its customers and positioning the company to deliver new and innovative products in emerging and high growth markets.

Hi-Tech remains true to the principals that the company was built on - innovation, quality and consistency, and will always be dedicated to ensuring that these principals remain uncompromised. Hi-Tech will continue to provide the finest-quality, innovative, science-based Sports Nutritional supplements and Diet & Energy Aids," says Nelson.

Other nutrition companies looking to increase scale, revenue, market share, and competitive advantage have also been active with mergers and acquisitions. Hi-Tech has been able to increase its market share in the United States through the acquisition of Florida-based Synergy Nutritional Industries in 2005, and gained a larger market share when it acquired Advanced Performance Supplements ("APS") in 2011. Hi-Tech gained further industry dominance when it acquired Nittany Pharmaceuticals in Pennsylvania and ALR Industries in California in 2012. Hi-Tech's recent strategy has been, and according to its leaders will continue to be, growth through M&A activity. In 2015, Hi-Tech has acquired Advanced Pharmaceuticals and Nutritionals, FormuTech Nutrition, Innovative Laboratories, Sports One, LG Sciences and with the most recent acquisition by Hi-Tech of iForce was the sixth acquisition for Hi-Tech in approximately a year.


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