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Summary
- Speculation has cropped up that plant-based burger maker Impossible Foods Inc is planning to go public.
- Impossible Foods' backers reportedly include venture capitalists like Horizon and Khosla Ventures as well as celebrities like Jay-Z and Serena Williams.
- Since its inception in 2011, the company has grown popular among the masses.
Just two days after the launch of its TV advertisement campaign in the US, speculation has cropped up that plant-based burger maker Impossible Foods Inc is planning to go public. If it does, the public listing could value the company at US$ 10 billion, which would be significantly up from its earlier valuation of US$ 4 billion at a private funding round last year.
Impossible Foods' backers reportedly include venture capitalists like Horizon and Khosla Ventures as well as celebrities like Jay-Z and Serena Williams. In the private market, the company is also said to have raised US$ 1.5 billion in funding.
Will Impossible Foods Opt For A SPAC Merger Or An IPO?
According to media reports, Impossible Foods is exploring the options of both an initial public offering (IPO) or a reverse merger to go public.
In case of a reverse merger, the Californian company will combine its business with a special purpose acquisition company (SPAC), which are shell companies that exist for the sole objective of raising capital for a merger. Once combined with a private company, the SPAC’s shares begin trading under the name of the new combined entity.
Over the past year or so, SPAC mergers have become a preferred format for privately held companies to go public. Many firms opt for SPACs over the traditional IPOs as the latter can be quite expensive to execute and take up to two or three years to finalize.
Few Things You Must Know About Impossible Foods
Since its inception in 2011, the company has grown popular among the masses. Apart from partnerships with Burger King and Disney, it offers meat-free burgers and sausages in grocery stores.
Source: Pixabay
The Impossible Whopper, a popular Burger King-Impossible Foods product, began selling in Canada on March 22. A cross-Canada rollout is expected in April for a better market presence in the country.
From 150 stores last year, Impossible Foods' burgers are now being served in more than 20,000 stores.
What’s In Store For The Plant-Based Meat Market?
As the demand for animal rights continues to surge and a large section of society turns to veganism, it is likely that plant-based meat products will continue gaining popularity.
According to a report by research firm MarketandMarket, the plant-based meat industry is projected to be valued at US$ 8.3 billion by 2025 and recording a CAGR of 14 per cent in terms of value.
