Kiwi Craig Silbery will receive a $150.8 million windfall when the Australian company he helped build is sold to Chinese firm By-Health for the equivalent of $754 million.

Just over 12 years ago, Silbery developed a probiotic strain - live bacteria or yeasts good for your health - for health business Life-Space.

Its parent company Life Space Group is now a leader in the Australian probiotics industry, operating the Evolution Health and Ultramix businesses as well as Life-Space.

Life-Space Group has entered into a binding agreement for the sale of the business to listed company By-Health for A$690m.

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Silbery's 20 per cent stake means a significant payout, but he said it was not about the money.

"The media headlines are likely to focus on the financial value of the Life-Space Group business, but this figure doesn't represent the true success of the venture," he said.

"More so the fact that over a hundred thousand children have benefited, and will continue to benefit health wise from our probiotics. [That] is what I am most proud of."

Silbery is currently the chief executive of Evolution Health and will continue in this role. He said the ownership structure would not change his work.

"I will continue to be both fascinated and inspired by what science is uncovering about the human microbiome," he said.

"With the continued support of the chairman, Mr Yunchao Liang, chief executive Mr Zhicheng Lin and the exceptional By-Health team, I am very much looking forward to many more years of [research and development] and innovation to contribute to the continued global expansion of the Life-Space brand."

Life-Space said it was the first business to develop over the counter probiotic formula for pregnant women and the first probiotic for babies aged 6 months to 3 years - both popular products in the New Zealand market.

The products are currently being launched in leading pharmacies throughout New Zealand.

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A spokesperson for the company said New Zealand was a focus market for 2018 and it was actively engaging major retailers.

As well as probiotics, Life-Space Group owns or distributes Healthy Essentials, Elmore Oil and Corams.