Beyond Meat Goes Public

A few weeks ago, there were rumors that the plant-based company Beyond Meat was planning to go public before the end of the year.

Well, these rumors ended up being true because last Friday, Beyond Meat filed an initial public offering for $100 million.

Beyond Meat reported $56.4 million in revenue for the first nine months of 2018, which is a 167 percent spike from last year.

"Going forward, we intend to continue to invest in innovation, supply chain capabilities, manufacturing and marketing initiatives," said the company in the filing.

The plant-based market is growing at a rapid rate as more consumers gravitate to a vegetarian or flexitarian lifestyle.

Plant-based consumption is up over 300 percent over the last year, according to our Foodable Labs data.

The Good Food Institute (GFI) has also released market data from Nielsen showing that the sales of this sector have recently exceeded $3.7 billion and that plant-based meat sales specifically have increased by 23 percent.

Beyond Meat was one the first companies to offer a vegan burger and quickly emerged as one of the biggest players in the plant-based protein market.

Besides being the first plant-based burger to be sold in the meat section at Whole Foods, the company has partnered with restaurants and food distributors across the country to get the Beyond Burger on more menus.

Beyond Meat has sold over 25 million veggie burgers that are "the closest thing to meat" ever created, boasts the company.

But the company has developed a product mimicking meat for a reason. Its target demographic aren't vegans and vegetarians, instead, it's flexitarians who may eat meat but choose not to often because of its environmental impact.

"Instead of marketing and merchandising The Beyond Burger to vegans and vegetarians (who represent less than 5% of the U.S. population), we request that the product be sold in the meat case at grocery retailers, where meat-loving consumers are accustomed to shopping for center-of-plate proteins," writes the company in the filing.

The Beyond Burger is now available in 11,000 grocery stores across the country.

Read more about Beyond Meat going public at "CNN."

Don’t miss The Barron Report episode below where Paul Barron goes into more detail about the plant-based company’s move to go public.

Plant-Based Meat Sales Have Increased by 23 Percent in the Last Year

We recently reported that plant-based consumption is up over 300 percent over the last year, according to our Foodable Labs data.

The Good Food Institute (GFI) has also released market data from Nielsen showing that the consumer demand for plant-based products is at an all-time high.

The sales of this sector have recently exceeded $3.7 billion.

"While total U.S. retail food sales grew just two percent over the previous 12 months, retail sales of plant-based foods grew a phenomenal 17 percent during the same time period," writes the GFI.

Specifically, plant-based meat, which has increased in popularity thanks to companies like Impossible Foods and Beyond Burger, saw a 23 percent spike in the last year. In the previous year, veggie-based meats only saw 6 percent growth.

Beyond Meat saw sales spike by 70 percent.

“As consumers look to decrease their meat consumption, more and more people are choosing plant-based meat. In fact, 12 percent of households across the U.S. now purchase plant-based meat,” said Alison Rabschnuk, GFI Director of Corporate Engagement at the GFI. “[This is] a significant increase from last year, and I expect we’ll see that trend continue."

Soy milk

Certain areas of the country, in particular, are seeing an increase in demand for these retail products.

"For instance, refrigerated plant-based meat sales are growing fastest in the Pacific and Mountain regions, while frozen plant-based meat sales are growing fastest in the West South Central region, which includes Texas," writes GFI.

Plant-based meat still only accounts for one percent of total retail meat sales in the U.S. Plant-based milk, on the other hand, accounts for 13 percent of total retail milk sales. Plant-based milk is now a $1.8 billion market.

Read more about the plant-based food market at "The Good Food Institute."

Sales in this sector are expected to climb as more vegan and plant-based products become readily available at retailers.

Learn about the plant-based movement in the video below.