Vegan burger company Beyond Meat's IPO sizzles

Meatless burger company Beyond Meat, which boasts investors Bill Gates and Leonardo DiCaprio, soared at its debut on the NASDAQ Thursday.
Beyond Meat priced its initial public stock offering at US$25 (S$34) per share, the top of its anticipated range in a reflection of brisk investor demand.
Beyond Meat priced its initial public stock offering at US$25 (S$34) per share, the top of its anticipated range in a reflection of brisk investor demand.PHOTO: BEYOND MEAT/FACEBOOK

BENGALURU (REUTERS) - Vegan burger maker Beyond Meat Inc, which counts Microsoft founder Bill Gates and actor Leonardo DiCaprio among its investors, on Wednesday (May 1) priced its initial public stock offering at US$25 (S$34) per share, the top of its anticipated range in a reflection of brisk investor demand.

At this price, Beyond Meat raised around US$240 million at a US$1.5 billion valuation, including underwriters' options.

Plant-based meat substitutes have been gaining popularity as more attention is focused on the environmental hazards of industrial ranching.

The Los Angeles-based company in early January announced it was rolling out its plant-based burger at fast-food chain Carl's Jr. The company starts trading on the Nasdaq on Thursday with the symbol.

The company had raised its price target range from US$19 to US$21 a share on Tuesday to US$23 to US$25, suggesting strong investor demand. It also increased the number of shares it was offering by 10 per cent.

Tyson Foods Inc, the No 1 US meat processor, owned a 6.5 per cent stake in Beyond Meat but last week sold its investment in the company since it decided to develop its own line of alternative protein products