Veggie Meat Producer Beyond Meat To Be Valued At US$1.21 Billion At IPO
Artificial meat manufacturer and distributor Beyond Meat has announced its official IPO pricing, pegging its market value at around US$1.21 billion. The Los Angeles-based company revealed earlier in the week that it will be pricing its shares between US$19 and US$21 a piece during its IPO.
As per its filing documents with the Securities and Exchange Commission, the firm aims to raise around US$183.8 million through its IPO. The company will be listed on the NASDAQ Global Market under the ticker "BYND." Underwriting the company's IPO are Credit Suisse, Goldman Sachs, JP Morgan, Pierce, Jefferies, Fenner & Smith, and William Blair.
According to the Beyond Meat, the new capital it will generate from the IPO will be used to invest in new manufacturing facilities as well as for further research and development into its plant-based meat substitutes. A part of the funds will also be used to enhance the firm's sales and marketing efforts.
Beyond Meat initially filed its IPO paperwork at the end of March. The company has so far made a name for itself in the United States, thanks to its unique plant-based meats that are now a staple in popular restaurants such as TGI Friday's and Carl's Jr. The firm, which was originally founded in 2009 by Ethan Brown, has also recently made their products available in various supermarkets such as Whole Foods and Target.
The company has recently expanded its products to international markets, which includes restaurants and supermarkets in countries such as Canada, Israel, Italy, and the UK. Apart from its plant-based burger patties, Beyond Meat also offers plant-based chicken meat, sausages, and artificial beef.
In 2018, the company reported revenues of around US$87.98 million, with a net loss of only US$29.9 million. Beyond Meat also made waves just recently thanks to a string of high-profile investors, which included actor Leonardo DiCaprio and billionaire entrepreneur Bill Gates.
According to a survey conducted by Nielsen Homescan, more and more Americans are apparently now exploring vegetarian options, which include plant-based diets. The survey also reveals that almost 40 percent of Americans are now slowly adding plant-based foods into their regular diets.
The increasing health and public awareness in the United States has helped companies such as Beyond Meat flourish in the highly competitive food industry. While vegetarian burgers are not something new, Beyond Meat has pushed the boundaries of the particular food technology as their products now closely mimic the taste and texture of real meat.