The long-anticipated listing of Zoglo’s Incredible Food Corp. (CSE: ZOG) is finally here. The plant-based food company has been serving customers top quality kosher products for over 25 years and is now preparing to enter the mainstream market.
Consumers are increasingly demanding healthier and more nutritious quality food choices. Concerns about health issues caused by traditional meat-based diets, as well as the sustainability of existing food production systems and their impact on climate change, has resulted in a rising demand for plant-based food options and the emergence of plant-based food producers to meet this accelerating demand.
According to Statista Research, the global plant-based meat market, which in 2018 was valued at US$10.10 billion, is expected to reach US$30.92 billion by 2026. Plant based meat sales still only account for 2% of all packaged meat sales. Companies such as Beyond Meat (NASDAQ: BYND), Impossible Foods, and Very Good Butchers (CSE: VERY) have become household names in recent years, and Zoglo’s will soon be joining them.
Zoglo’s has offered its Vegetarian Choice line of products since 1987, and has since become a leader in the research and development of plant-based foods through its laboratories in Israel. The company’s products can be found in Australia, Europe and North America. In Canada, Zoglo’s plant protein meat products can be purchased in over 30 supermarket chains, including Walmart, Sobeys, Loblaws, Fortinos, Metro and Grocery Gateway. In the northeastern and midwestern United States, Zolgo’s products are available at Safeway, Save-On Foods, Shoprite, as well as a number of chains catering to the Jewish community.
The company’s management team consists of seasoned executives who collectively have over 80 years of retail experience, industry relationships, and a history of building and managing brands. Currently, Zoglo’s products are mainly in a supermarket’s kosher food section, and management plans to leverage that by rolling out its Zoglo’s Select and Incredible product lines nationally into the mainstream food sections of major retail chains. The Select line currently consists of five products, while the Incredible line has fourteen.
As part of the Company’s growth strategy, it is establishing a Quick Service division to leverage its knowledge of the space. Quick service and fast food restaurants are the biggest market for pre-made veggie burgers in the United States and Canada, accounting for over 60% of all plant-based meat product retail sales in 2019. This represents a potentially massive market opportunity for Zoglo’s to become a key supplier, as more fast food restaurant chains seek to offer customers more plant-based meat options.
The company itself is set to finally begin trading on the Canadian Securities Exchange on July 26, where it will trade under the symbol “ZOG”. The firm is expected to have roughly 99.8 million shares outstanding at the time of its go-public, of which 46.0 million are subject to escrow conditions that will see shares released over a three year period. An additional 41.4 million shares are subject to a voluntary twelve month escrow, leaving about 12.4 million free trading shares at the time of its trading debut.
Zoglo’s Incredible Food is currently expected to begin trading at price of approximately $0.25, based on the most recent financing conducted by the firm.
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