Vegan burger upstart Beyond Meat Inc, whose backers include Hollywood star Leonardo DiCaprio and Microsoft Corp founder Bill Gates, has raised US$241 million from its initial public offering, valuing the firm at about US$1.5 billion.
The California-based firm said it on Wednesday sold 9.625 million shares on the NASDAQ exchange at US$25 each, the top of its offer range.
Reflecting strong investor demand, it had increased the offer price of its shares to US$23 to US$25 from US$19 to US$21.
The company has tapped into changing consumer appetites as growing numbers of people turn to plant-based meat alternatives, whether vegans who shun all animal products or “flexitarians,” who advocate moderate consumption of meat.
“We believe that consumer awareness of the perceived negative health, environmental and animal-welfare impacts of animal-based meat consumption has resulted in a surge in demand for viable plant-based protein alternatives,” it said in its prospectus.
The firm said it believes that eating plant-based protein would “help address concerns related to human health, climate change, resource conservation and animal welfare” as it seeks to compete with the US$1.4 trillion global meat industry.
Despite the popularity of its signature Beyond Burger and other products, Beyond Meat is still not profitable and recorded a net loss of US$30 million last year, according to its financial records released on Monday.
However, it has seen strong growth, with US$88 million in sales last year, compared with US$33 million in 2017 and US$16 million in 2016.
“We have a history of losses and we may be unable to achieve or sustain profitability,” the firm said in its filing with the US Securities and Exchange Commission.
The group said that it would use the funds raised to “expand our marketing channels, invest in our distribution and manufacturing facilities, hire additional employees, and enhance our technology and production capabilities.”
Like fellow “veggie burger” maker Impossible Foods Inc, Beyond Meat uses sophisticated technologies to replicate as closely as possible the taste, color, smell and texture of meat.
It uses peas, beans and soy to make steaks and sausages or replace minced meat in tacos and spaghetti bolognese.
The Beyond Burger, which uses beets to make it “bleed,” is sold in thousands of supermarkets and restaurants, including TGI Fridays.
Meanwhile, Impossible Foods has linked up with Burger King to offer a vegan version of its signature Whopper.
Nestle SA and Unilever are also aiming to expand their presence in the expanding sector.
purpose: Tesla’s CEO sought to meet senior Chinese officials to discuss the rollout of its ‘full self-driving’ software in China and approval to transfer data they had collected Tesla Inc CEO Elon Musk arrived in Beijing yesterday on an unannounced visit, where he is expected to meet senior officials to discuss the rollout of "full self-driving" (FSD) software and permission to transfer data overseas, according to a person with knowledge of the matter. Chinese state media reported that he met Premier Li Qiang (李強) in Beijing, during which Li told Musk that Tesla's development in China could be regarded as a successful example of US-China economic and trade cooperation. Musk confirmed his meeting with the premier yesterday with a post on social media platform X. "Honored to meet with Premier Li
Dutch brewing company Heineken NV on Friday announced an investment of NT$13.5 billion (US$414.62 million) over the next five years in Taiwan. The first multinational brewing company to operate in Taiwan, Heineken made the statement at a ceremony held at its brewery in Pingtung County. It also outlined its efforts to make the brewery “net zero” by 2030. Heineken has been in the Taiwanese market for 20 years, Heineken Taiwan managing director Jeff Wu (吳建甫) said. With strong support from local consumers, the Dutch brewery decided to transition from sales to manufacturing in the country, Wu said. Heineken assumed majority ownership and management rights
ARTIFICIAL INTELLIGENCE: The chipmaker last month raised its capital spending by 28 percent for this year to NT$32 billion from a previous estimate of NT$25 billion Contract chipmaker Powerchip Semiconductor Manufacturing Corp (力積電子) yesterday launched a new 12-inch fab, tapping into advanced chip-on-wafer-on-substrate (CoWoS) packaging technology to support rising demand for artificial intelligence (AI) devices. Powerchip is to offer interposers, one of three parts in CoWoS packaging technology, with shipments scheduled for the second half of this year, Powerchip chairman Frank Huang (黃崇仁) told reporters on the sidelines of a fab inauguration ceremony in the Tongluo Science Park (銅鑼科學園區) in Miaoli County yesterday. “We are working with customers to supply CoWoS-related business, utilizing part of this new fab’s capacity,” Huang said, adding that Powerchip intended to bridge
Microsoft Corp yesterday said that it would create Thailand’s first data center region to boost cloud and artificial intelligence (AI) infrastructure, promising AI training to more than 100,000 people to develop tech. Bangkok is a key economic player in Southeast Asia, but it has lagged behind Indonesia and Singapore when it comes to the tech industry. Thailand has an “incredible opportunity to build a digital-first, AI-powered future,” Microsoft chairman and chief executive officer Satya Nadella said at an event in Bangkok. Data center regions are physical locations that store computing infrastructure, allowing secure and reliable access to cloud platforms. The global embrace of AI