Beyond Meat secured up to $100 million in senior secured debt from Unprocessed Foods to enhance liquidity and support growth.
Quiver AI Summary
Beyond Meat, Inc. announced the successful closure of a financing facility of up to $100 million in new senior secured debt from Unprocessed Foods, LLC, an affiliate of the Ahimsa Foundation, which focuses on promoting plant-based diets. This financing will provide Beyond Meat with additional liquidity to support its growth strategies. CEO Ethan Brown expressed confidence in the new investor's alignment with the company's mission, while Shaleen Shah from the Ahimsa Foundation highlighted Beyond Meat's strong market position and commitment to quality. The financing arrangement includes terms for accrued interest and potential warrants for Unprocessed Foods to purchase a share of Beyond Meat's stock.
Potential Positives
- Beyond Meat successfully closed a financing facility providing up to $100 million in new senior secured debt, enhancing its liquidity for growth initiatives.
- The involvement of Unprocessed Foods, an affiliate of a non-profit focused on plant-based diets, signifies alignment with the company’s mission and deeper industry understanding.
- The financing allows Beyond Meat to evaluate further opportunities to strengthen its balance sheet and position itself for future growth.
Potential Negatives
- The company is taking on a significant amount of debt ($100 million) with high interest rates (12.0% initially, increasing to 17.5% after the maturity date), which may raise concerns about financial stability and burden on future cash flow.
- Issuance of warrants allowing Unprocessed Foods to purchase up to 12.5% of Beyond Meat’s shares could dilute existing shareholders' equity, potentially negatively impacting share value.
- The reliance on a non-profit organization for financing may raise questions about traditional investment confidence in Beyond Meat, suggesting possible difficulties attracting conventional investors.
FAQ
What financing facility did Beyond Meat announce?
Beyond Meat announced a successful financing facility providing up to $100 million in new senior secured debt from Unprocessed Foods, LLC.
How will Beyond Meat use the financing proceeds?
Proceeds from the financing will be used for general corporate purposes as the company advances its strategic priorities.
What is the interest rate for the new debt?
The interest rate is 12.0% prior to the initial maturity date, increasing to 17.5% thereafter, payable in kind.
Who is Unprocessed Foods, LLC?
Unprocessed Foods, LLC is an affiliate of Ahimsa Foundation, a non-profit organization that advocates for plant-based diets.
What is Beyond Meat's brand promise?
Beyond Meat's brand promise, Eat What You Love®, emphasizes a better way to feed our future through plant-based choices for health and sustainability.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$BYND Insider Trading Activity
$BYND insiders have traded $BYND stock on the open market 6 times in the past 6 months. Of those trades, 0 have been purchases and 6 have been sales.
Here’s a breakdown of recent trading of $BYND stock by insiders over the last 6 months:
- ETHAN BROWN (President, Chief Exec. Officer) has made 0 purchases and 3 sales selling 475,772 shares for an estimated $1,810,393.
- CHELSEA A GRAYSON has made 0 purchases and 3 sales selling 5,565 shares for an estimated $17,454.
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$BYND Hedge Fund Activity
We have seen 89 institutional investors add shares of $BYND stock to their portfolio, and 91 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- UBS GROUP AG added 1,223,230 shares (+714.2%) to their portfolio in Q4 2024, for an estimated $4,599,344
- SG AMERICAS SECURITIES, LLC added 1,164,007 shares (+5060.0%) to their portfolio in Q1 2025, for an estimated $3,550,221
- D. E. SHAW & CO., INC. removed 664,547 shares (-90.5%) from their portfolio in Q4 2024, for an estimated $2,498,696
- ZWEIG-DIMENNA ASSOCIATES LLC removed 464,372 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $1,416,334
- VONTOBEL HOLDING LTD. added 455,963 shares (+35.0%) to their portfolio in Q1 2025, for an estimated $1,390,687
- ENGINEERS GATE MANAGER LP added 346,366 shares (+551.3%) to their portfolio in Q4 2024, for an estimated $1,302,336
- COATUE MANAGEMENT LLC removed 343,393 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $1,291,157
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
EL SEGUNDO, Calif., May 07, 2025 (GLOBE NEWSWIRE) -- Beyond Meat, Inc. (NASDAQ: BYND) (“Beyond Meat” or the “Company”), a leader in plant-based meat, today announced it has successfully closed on a financing facility providing up to $100 million in new senior secured debt from Unprocessed Foods, LLC (“Unprocessed Foods”), an affiliate of Ahimsa Foundation, a non-profit organization focused on advocating for plant-based diets.
“This facility provides us with additional liquidity as we advance our strategic priorities and invest opportunistically to help us drive our growth plans,” said Beyond Meat Founder, President, and CEO Ethan Brown. “We are pleased to welcome a new investor who deeply understands our industry and is mission-aligned with our plant-based ethos. 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.”
Shaleen Shah, President of Ahimsa Foundation, said, “Beyond Meat is a category-leading business with exceptional products, a strong commitment to nutrition and ingredient integrity, and a globally recognized brand. This reflects our expectation to be invested in Beyond Meat’s growth and success for the long term.”
Under the terms of the financing agreement, Unprocessed Foods has provided Beyond Meat with a senior secured delayed-draw term loan facility of $100 million. Any drawdowns on the facility would accrue interest of 12.0% prior to the initial maturity date of February 7, 2030, and 17.5% following that date, in each case, payable in kind. The initial maturity date may be extended with the consent of both parties until May 7, 2035. Beyond Meat will use any proceeds for general corporate purposes.
As part of the transaction, Unprocessed Foods will receive warrants in proportion to the amount drawn down on the facility, giving them the right to purchase up to 12.5% of Beyond Meat’s currently outstanding shares at an exercise price of 115% of the average of daily volume weighted average prices for the 30-day period beginning May 8, 2025, with a minimum and maximum exercise price of $2.00 and $3.75, respectively.
Complete terms will be disclosed in a Form 8-K to be filed by Beyond Meat with the SEC.
Latham & Watkins LLP served as legal counsel and PJT Partners LP served as investment banker to the Company on the financing transaction.
About Beyond Meat
Beyond Meat, Inc. (NASDAQ: BYND) is a leading plant-based meat company offering a portfolio of revolutionary plant-based meats made from simple ingredients without GMOs, no added hormones or antibiotics, and 0 mg of cholesterol per serving. Founded in 2009, Beyond Meat products are designed to have the same taste and texture as animal-based meat while being better for people and the planet. Beyond Meat’s brand promise, Eat What You Love®, represents a strong belief that there is a better way to feed our future and that the positive choices we all make, no matter how small, can have a great impact on our personal health and the health of our planet. By shifting from animal-based meat to plant-based protein, we can positively impact four growing global issues: human health, climate change, constraints on natural resources and animal welfare. Visit www.BeyondMeat.com and follow @BeyondMeat on Facebook, Instagram, Threads, and LinkedIn.
Forward-Looking Statements
Certain statements in this release constitute “forward-looking statements” within the meaning of federal securities laws, including but not limited to statements regarding the terms of, and the Company’s expectations regarding, the transaction with an affiliate of Ahimsa Foundation. These statements are based on management’s current opinions, expectations, beliefs, plans, objectives, assumptions and projections regarding future events or future results. These forward-looking statements are only predictions, not historical fact, and involve certain risks and uncertainties, as well as assumptions. Actual results, levels of activity, performance, achievements and events could differ materially from those stated, anticipated or implied by such forward-looking statements. While Beyond Meat believes that its assumptions are reasonable, it is difficult to predict the impact of known factors, and, of course, it is impossible to anticipate all factors that could affect actual results. There are many risks and uncertainties that could cause actual results to differ materially from the forward-looking statements made in this release, including, most prominently, the risks discussed under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 filed with the U.S. Securities and Exchange Commission (“SEC”) on March 5, 2025 and in the Company’s Quarterly Report on Form 10-Q for the quarter ended March 29, 2025 to be filed with the SEC, as well as other factors described from time to time in Beyond Meat’s filings with the SEC. Such forward-looking statements are made only as of the date of this release. Beyond Meat undertakes no obligation to publicly update or revise any forward-looking statement because of new information, future events or otherwise, except as otherwise required by law. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements.
Contacts
Media:
Shira Zackai
[email protected]
Investors:
Raphael Gross
[email protected]