Oatly filed a document for an initial public offering (IPO) with the Securities and Exchange Committee on Tuesday. The oat milk company did not outline how many shares it would sell or what pricing range the stock might debut at, but a report from Bloomberg said shares could be priced to value the company at $10 billion.
The market for IPOs has been incredibly hot as of late. More companies went public on U.S. exchanges than ever before last year, and 2021 will see more big names make their market debuts. A market cap in the $10 billion range would immediately make Oatly one of the most valuable pure-play stocks in the health food space, and there are reasons why investors may be willing to embrace a growth-dependent valuation.
Image source: Oatly.