From CNBC:

Oatly and Carvel are teaming up to introduce oat milk-based items at Carvel’s ice cream stores nationwide. Oatly’s shares jumped about 7% in Monday trading following the announcement. Oatly, a Swedish company with a market cap of roughly $657 million, has struggled to regain investor enthusiasm since its stock market debut in 2021. Carvel will add five new plant-based desserts to its menu as part of the partnership, including strawberry soft serve, cookies and cream, and chocolate peanut butter flavors, as well as cakes.

The partnership with Carvel is a boost for Oatly, as the company’s financial performance has repeatedly disappointed Wall Street since its initial public offering. Oatly’s shares have dropped significantly from their opening price of $22.12 per share in 2021. Carvel, a chain known for its soft serve, will offer the Oatly products at nearly 300 of its stores in 18 states. Oatly and Carvel aim to cater to consumers with dairy allergies or dietary restrictions, as the demand for plant-based milk, particularly oat milk, continues to grow.

Oatly sees the partnership as a way to reach consumers with dietary restrictions, as the demand for plant-based milk has been increasing. Carvel’s chief brand officer, Jim Salerno, expressed excitement about the partnership, stating that Oatly is the latest addition to the chain’s offerings that is expected to generate enthusiasm from guests. The new Oatly flavors will provide alternatives for people with dairy allergies or dietary restrictions, aiming to attract a growing market of consumers embracing plant-based milk.



Read more: Oatly, Carvel ice cream partnership boosts stock