PepsiCo join hands with Beyond Meat to develop plant-based snacks, beverages

FMCG-major PepsiCo Inc and Beyond Meat Inc has partnered to develop and sell snacks and beverages made from plant-based protein.

Beyond Meat's shares, which gained about 65% last year, were up 22.4% in premarket trading, while those of PepsiCo were up 1%, reported Reuters.

In last one year, we have seen many QSR chain launching products with plant-based meat products. Recently, Domino’s in India became the latest player to launch plant-based pizza in the country.

Also Read: Beyond Meat to expand breakfast sausages to 5000 additional stores

Beyond Meat suffered a surprise loss in its last reported quarter as demand for its products at restaurants and grocery stores tapered after an initial surge at the start of the COVID-19 pandemic.

With this partnership, Beyond Meat can have access to a wide network of PepsiCo’s distribution and marketing resources and allow it to expand into new product lines, shared Ethan Brown, CEO, Beyond Meat.

PepsiCo has also been looking to expand its portfolio of health-focused snacks and beverages.

May Interest: PepsiCo to buy Chinese snack brand Be & Cheery

"Plant-based proteins represent an exciting growth opportunity for us, a new frontier in our efforts to build a more sustainable food system," said Ram Krishnan, Global chief commercial officer, PepsiCo.

The financial terms of the partnership were not disclosed and the operations will be managed through a newly created entity, PLANeT Partnership LLC.