The market for plant-based milk substitutes is booming, and Oatly wants a piece of the action. The company is a pioneer and the largest seller of oat-based milk in the world, and has filed an F-1 with the Securities and Exchange Commission in advance of its initial public offering (IPO). Oatly is planning to list its American depository shares (ADS) on the Nasdaq stock exchange using the ticker OTLY.
Since this is an initial filing, Oatly hasn't yet divulged how much it hopes to raise, how many shares it will offer, or when shares will begin trading. The company is expected to debut in just weeks and could fetch a valuation in the neighborhood of $10 billion.
Oatly has long been a fixture in its native Sweden and across Europe, but recently took the U.S. market by storm. The company announced a deal late last year that brought its vegan-friendly milk alternative to Dunkin Donut shops nationwide, and Starbucks (NASDAQ:SBUX) followed suit in early 2021.
To close out 2020, Oatly products were available across 60,000 retail locations and 32,200 coffee shops in more than 20 countries around the world. The company has deals with major retailers including Walmart (NYSE:WMT), Target (NYSE:TGT), Amazon's (NASDAQ:AMZN) Whole Foods, and Kroger (NYSE:KR), and Oatly continues to expand internationally. To meet the growing demand, the company is rapidly increasing its production capability.
It offers a wide variety of products for those looking to avoid dairy, including milk, ice cream, yogurt, spreads, and on-the-go drinks. Oatly has ridden the wave of growing consumer health consciousness and diet awareness, as well as the generational shift toward sustainability and environmentally friendly alternatives.
For the year ended Dec. 30, 2020, the company generated revenue of $421.4 million, which surged 106% from $204 million in 2019. Losses also climbed, to $60.4 million, worsening from a loss of roughly $35.6 million the year before.