US plant-based restaurant group Odd Burger has signalled a move into retail with the acqusition of Canada’s Zoglo’s Food.
It plans to combine the businesses.
Odd Burger is a chain of vegan fast-food restaurants company that manufactures and distributes a line of plant-based protein and dairy alternatives via its outlets.
Zoglo’s is a plant-based food manufacturer with more than 3,000 distribution points, including via major retailers Walmart, Metro and Sobeys.The company currently has 12 products, including plant-based burgers, sausages, hot dogs, meatballs and chicken.
Post-deal, Odd Burger will have access to Zoglo’s’ food manufacturing sites in both North America and Europe, which could see it scaleing its own operations internationally. Odd Burger will also provide Zoglo’s with access to its foodservice channel, which may provide a new revenue stream for the Canadian company.
Odd Burger said it also plans to launch some of its own branded products into retail following the acquisition of Zoglo’s.
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James McInnes, CEO of Odd Burger, said: “This acquisition provides growth potential for both of our companies. The retail distribution that Zoglo’s has is nearly unmatched in the plant-based retail space in Canada and I believe that we can leverage this distribution to both monetize our own products and also make Zoglo’s products even more successful in their category.”
Val Jedras, CEO of Zoglo’s, said: “With over 25 years of experience in the Canadian plant-based consumer packaged goods industry, we have built a strong brand and loyal customer base. By combining our resources and expertise with Odd Burger, we believe we can accelerate our growth and expand our reach both domestically and internationally.
“We are excited about the potential of this partnership and look forward to working closely with the Odd Burger team to bring delicious and nutritious plant-based products to more consumers around the world.”
Post-merger, the former Zoglo’s shareholders will hold approximately 25% of the shares of the new company while the former shareholders of Odd Burger will hold approximately 75% of the new entity’s shares.