Plant-based protein brand OWYN has secured growth investment from Purchase Capital, an affiliate of its parent company United Nutritional Brands, as well as from Hammock Park Capital LLC and PowerPlant Ventures, the company announced today. Terms of the investment were not disclosed.
The new funding will support national expansion, increase distribution with national retailers, grow OWYN’s online presence and e-commerce platform, and expand advertising and marketing efforts, according to a press release.
“We are grateful for the support and expertise of our investors as we continue to expand nationally and become the fastest growing plant-based nutrition beverage in the U.S.,” said OWYN CEO Mark Olivieri, in a press release. “In addition to the progress we have made in distributing to mass market retailers, we have built a thriving e-commerce business, launched new and innovative products, and put in place a data-driven strategic plan for continued rapid growth.
Launched in 2017, OWYN’s allergen-free, plant-based drink platform extends from its zero-sugar Pro Elite High Protein Shake (35 grams protein) to meal replacement smoothies to its core drinks (20 grams protein) in both single-serving PET bottles and Tetra Paks. Innovation has taken the brand into new categories like pancake and waffle mix, along with a brief stint in kids beverages.
PowerPlant Ventures joined as an investor in 2020, with Rampolla telling BevNET at the time the firm was attracted to OWYN’s “balanced, rational strategy around building out select DSD markets.” Having built a market presence in natural retailers, OWYN has made progress in other channels in recent years, bringing on chains like Target, Walmart, Publix and Market Basket, as well as recently launching new 15-pack cases at BJ’s Wholesale Club.
In January, United Nutritional Brands bought out Halen Brands’ controlling stake in OWYN, with president Mark Olivieri promoted to CEO.
As part of the portfolio of Purchase Capital, which also serves as the family office to veteran investor Nicholas J. Singer, OWYN slots in alongside companies like amusement park operator United Parks and IntegriCo Composites, which develops ways to reuse hard-to-recycle plastic materials. Purchase Capital describes itself as offering “patient capital” for companies with “significant potential for long-term value creation.”
“OWYN’s solid growth trajectory over the past year speaks to Mark and the team’s expert leadership, operational efficiencies, and ability to develop a differentiated offering within a $15 billion plus market opportunity,” said Singer, who also serves as Chairman at OWYN Chairman. “We are excited to deepen our support for the business to further strengthen the brand and deliver innovative products that meet evolving consumer demands.”
While plant-based protein drinks are more prevalent than when OWYN first arrived, the brand is aiming to differentiate itself from growing rivals like Orgain, Pepsi’s EVOLVE, Alani Nu and Aloha (as well as Koia on the refrigerated side) by highlighting its medical credentials. As part of its “What’s Inside Matters” campaign, the brand announced a six-member medical advisory board composed of clinicians and researchers who will have input on product development and formulations.
“Not all plant-based products are created equal,” said Dr. Donald Kirby, a member of the advisory group. “There are more than 85 million individuals in the U.S. who depend on dairy-free and allergen-free products, and we believe OWYN’s proven proprietary process and offering are filling a critical need that will continue to grow in the coming years.”
In a recent LinkedIn post, Olivieri said OWYN had reached the #4 position in the ready-to-drink protein category, behind “billion-dollar brands” Premier Protein, Muscle Milk (PepsiCo) and CORE Power (Coca-Cola). The company reported 60% retail distribution growth and 115% revenue growth in 2021.