The Strategist

Beyond Meat shares up 36% after deal with Pepsi announced


01/27/2021 - 03:01



Shares in plant-based meat producer Beyond Meat were up more than 36% at the opening of trading, triggered by the news that the company has agreed a deal with PepsiCo to develop new snacks and drinks based on plant-based protein.



Raysonho @ Open Grid Scheduler / Scalable Grid Engine
Raysonho @ Open Grid Scheduler / Scalable Grid Engine
Shares in plant-based meat producer Beyond Meat jumped more than 36% after the opening of trading on January 26. By mid-afternoon, the securities were worth about $216, more than a third higher than Monday's closing price, according to Nasdaq exchange data. The company's shares added nearly 13% to $158.73 a share on Monday.

The reason for the rush in demand may have been the announcement of Beyond Meat's partnership with PepsiCo, a major international food producer that owns the Pepsi and Lay's brands, J7. The companies announced on 26 January that they will launch a joint venture to develop, produce and sell new plant-based protein snacks and drinks. The partners will work through a new company, The PLANeT Partnership. Financial terms of the partnership were not disclosed.

Plant-based protein is a unique growth opportunity and PepsiCo's new ambition to build a renewable food system, said PepsiCo chief commercial officer Ram Krishan. PepsiCo's distribution and marketing capabilities in the joint venture will combine with Beyond Meat's cutting-edge innovation, said Ethan Brown, founder and CEO of the start-up.

source: cnbc.com




More
< >

Tuesday, December 7th 2021 - 08:15 Saudi Aramco sells 49% in its subsidiary