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Beyond Meat has just announced up to USD $100 million in new senior secured debt from Unprocessed Foods, an affiliate of the plant-based non-profit Ahimsa Foundation.
According to Beyond Meat president Ethan Brown, the investment will support the growth, investment, and advancement of “strategic priorities” for the company moving forward.
“We are pleased to welcome a new investor who deeply understands our industry and is mission-aligned with our plant-based ethos,” said Brown. “In addition to securing access to this substantial new financing, we are continuing to evaluate opportunities to further strengthen our balance sheet and best position our business for the future.”
The Ahimsa Foundation’s for-profit venture capital arm, Ahimsa Companies, acquired New York’s Blackbird Foods earlier this year. In 2024, it acquired Wicked Kitchen, Good Catch, and Current Foods. At the time, Ahimsa Companies CEO Matt Tullman said that “consolidation will drive success” for the now overcrowded plant-based sector.
Read more: Beyond Meat Launches New Unbreaded Vegan Chicken Pieces
Plant-based meat market growth and future uncertainty
Beyond Meat has had a difficult first quarter, and recently reported a 9.1 percent decline in net revenue driven by an 11.2 percent reduction in sales volume. The company’s Q1 made a loss of $1.1 million, with a gross margin of -1.5 percent compared to 4.9 percent last year.
In February, the company announced a six percent cut to its total workforce, including 95 percent of its China-based team. Beyond Meat plans to suspend operations in China entirely by the end of June and will be making executive leadership changes, intending to turn a profit by 2026. Brown has noted that an uncertain economic environment nationally and globally likely “exacerbated category challenges” such as “weak category demand” in the US.
While some media coverage of the sector has depicted the future of plant-based meat as uncertain, recent market research indicates that the market could “more than double in value” by the end of the decade. More specifically, growing consumer preference for “clean” label foods, nutritious ingredients, and sustainable products is helping to drive growth.
Read more: Plant-Based Meat Not Associated With Adverse Health Outcomes, Government Report Finds
