The Very Good Food Company - the owner of Canadian The Very Good Butchers reported an 800 per cent increase in its stock value after its first week of trading on the Canadian Securities Exchange.
The Very Good Food Company completed its initial public offering (IPO) of 16,100,000 common shares at the price of CAD$0.25 per share and will benefit from $4,025,000 in earnings. The company went public at just $0.25 per share and closed at $2.00 per share.
“We finally have the capital we need to realize our vision,” CEO Mitchell Scott told CTV News. “So, we’re just getting started.”
“Honestly, we’ve been kind of blown away,” he added. “We knew we had a great product, a great concept, but I don’t think anyone could have really anticipated such a big start for us.”
The company plans to use the money to open a new vegan butcher shop in Vancouver next spring or summer.
“It’s going to be a combination butcher shop, restaurant, test kitchen, R&D space and there’ll also be a lot of production space there,” Scott said.
The vegan business was founded by couple James Davison and Tania Friesen in 2016. In the beginning, they offered their homemade plant-based meats and cheeses at local farmers markets. They opened their first store in 2017 which, within the first months, grew into a much larger location. Today, the company’s products, including burgers, subs, mac and cheese, and loaded fries, are also available in vegan subscription boxes and at supermarkets across Canada.
Last week, Canadian investment firm Eat Beyond Global Holding invested in The Very Good Food Company.
Commenting on the investment: Eat Beyond CEO Patrick Morris said:
“We are thrilled to see The Very Good Food Company, another major plant-based IPO, mirroring the success of Beyond Meat. There is clearly extraordinary confidence in this market, and the enormous demand for plant-based products.”
“We are excited to continue investing in this growing sector and continuing to be a part of more success stories like this one.”