Yesterday, yogurt-maker, Chobani, joined the summer IPO party, as it filed regulatory paperwork for its stock market listing. The number of shares to be sold and price range for the offering is still to be determined.
Chobani is capitalizing on investor demand for healthy and environment-conscious companies. Last month, Swedish vegan milk-maker, Oatly Group, raised $1.4 billion in its stock market debut and is currently valued at over $13 billion. Chobani is expected to be valued north of $10 billion as well. Another plant-based company, Impossible Foods is also preparing for its IPO and is expected to fetch a similar valuation.
Chobani was founded by Turkish immigrant, Hamdi Ulukaya, who moved to the US in 1994 to study English. In 2005 he took a small loan and bought an old yogurt factory. He decided to make yogurt the Turkish way and brought over a yogurt master from Turkey. They spent two years perfecting their yogurt recipe. The first Chobani yogurt hit stores in 2007 and the rest is history.
Short Squeez Takeaway: Chobani's revolutionary yogurt made it a household name in America. It's hardly resting on its laurels and has continued to innovate as it caters to a rapidly changing food environment. It has introduced plant based-creamers, probiotic beverages and ready-to-drink coffee. Hamdi Ulukaya might very well be the Elon Musk of yogurt. In summary, we like the stock.