Read the story here. Advertise at Before It's News here.
Profile image
By ProactiveInvestors (Reporter)
Contributor profile | More stories
Story Views
Last hour:
Last 24 hours:

Oatly soars on first day of listing

% of readers think this story is Fact. Add your two cents.

Oatly Group AB (NASDAQ:OTLY) soared on its first day of trading on Wall Street after raising US$1.4bn in its IPO.

The oat milk brand priced 84mln shares at US$17 a pop, which was at the top of its range, implying a market cap of US$10bn.

READ: Swedish oat milk brand Oatly prepares Nasdaq IPO

The stock closed at US$20.20, a 16% premium to the IPO price, and was changing hands for US$20.67 in afterhours trading.

The Swedish company was founded 25 years ago but has enjoyed a boom in trading recently, as consumers worldwide seek more sustainable alternatives to cow milk. Plant-based options are also perceived to be healthier.

“According to Euromonitor, consumers who are who are reducing animal-based products but not following a strict vegan diet, already account for nearly 50% of consumers globally,” said Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown.

“More shoppers seem to want an alternative to soya milk, and oat milk is revered for being high in fibre and vitamins, although it has higher levels of calories and carbohydrates compared to plant-based milk alternatives.”

Headquartered in Malmö, Sweden, its oat-based milk and related products, such as yoghurt and ice cream, are sold in more than 20 countries globally.

The group is backed by a roster of celebrities, including Oprah Winfrey and Jay-Z, and institutions such as Belgian investor Verlinvest, state-owned China Resources and Nordics venture capital firm Industrifonden.

However, it’s a crowded market for milk alternatives, with consumer goods giant Nestlé launching its pea-based drink Wunda earlier this month.

Oatly could also be joined by Chobani, which makes yoghurt and oat-based milk, on the stock market later this year, with the Wall Street Journal reporting a mooted US$7-10bn IPO.

In Europe, Paris-listed Danone owns the Alpro range, while Unilever PLC (LON:ULVR) has made vegan versions of its Magnum, Ben & Jerry’s and Swedish Glace ice cream among its plant-based options.

“As demand for alternative milk products heats up, Oatly may well find some of the cream is licked off its share price, unless it can keep rolling out fresh product lines to keep its growing customer base loyal,” Streeter continued.

–Adds share price movement, comment–

Story by ProactiveInvestors


Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Please Help Support BeforeitsNews by trying our Natural Health Products below!

Order by Phone at 888-809-8385 or online at M - F 9am to 5pm EST

Order by Phone at 888-388-7003 or online at M - F 9am to 5pm EST

Order by Phone at 888-388-7003 or online at M - F 9am to 5pm EST

Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!

HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation

Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.

MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)
Oxy Powder - Natural Colon Cleanser!  Cleans out toxic buildup with oxygen! 
Nascent Iodine - Promotes detoxification, mental focus and thyroid health.
Smart Meter Cover -  Reduces Smart Meter radiation by 96%!  (See Video)

Immusist Beverage Concentrate - Proprietary blend, formulated to reduce inflammation while hydrating and oxygenating the cells.

Report abuse


Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Load more ...




Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.