British soft drinks maker A.G. Barr said on Monday that it bought a 60% stake in porridge and oat milk maker MOMA Foods as it forays into the fast-growing plant-based milk sector.
Best known for fizzy drink Irn-Bru, A.G. Barr said it had agreed to assume full ownership of MOMA Foods over the next three years.
Vegan Milk Alternatives Demand
Demand for vegan milk alternatives has risen in recent years, with much of the demand for plant-based food and drink being led by millennial and generation Z consumers.
MOMA Foods, founded by Tom Mercer in 2006 as a breakfast stall in a railway arch in south east London, also makes low-sugar granola and bircher muesli-branded products, and most recently diversified into oat milk.
"I'm delighted that AG Barr is venturing into healthy oat-based products with such a great brand and an experienced team, led by Tom," said Roger White, chief executive officer, A.G. Barr.
On the 29 November, the company said it expects annual profit to exceed pre-pandemic levels and beat current market expectations, with 'on the go' and hospitality sectors remaining particularly strong.
The company forecast both annual revenue and pretax profit ahead of current market expectations, despite ongoing near-term operating cost pressures.
Irn-Bru was in the spotlight earlier this month when Scotland's First Minister Nicola Sturgeon handed U.S. Representative Alexandria Ocasio-Cortez a can of the orange fizzy beverage at COP26 in Glasgow, with Ocasio-Cortez giving the cherished Scottish drink a thumbs-up.
News by Reuters edited by Donna Ahern, Checkout. For more A Brands stories click here. Click subscribe to sign up for the Checkout print edition.