Investors jumped on shares of Beyond Meat when they hit the market Thursday, pushing prices up by 163 per cent, valuing the company at about $3.8 billion US.
The company is famous for making veggie burgers and sells to a number of Canadian retailers such as Burger King, A&W and Loblaws.
Maple Leaf Foods, Canada’s largest meat packer, is trying to catch up with its purchase of a couple of U.S. vegetable-protein companies and a recent announcement that it will invest $310 million in a new facility.
Beyond Meat began trading at $46 and closed at $65.75 Thursday. The shares were priced at $25 late Wednesday, after the company raised the size and target price rangefor the offering to 9.625 million shares at $23 to $25 each, up from the previously expected 8.75 million shares at $19 to $21 each.
In an interview with Investor’s Business Daily, Beyond Meat executive chairman Seth Goldman said the company is developing products for “every meat occasion,” including steak and bacon substitutes, he said, but those are more challenging to create and it will be some time before they hit the market.
