Oddlygood acquires Rude Health amidst shifts in the UK plant-based milk market

Oddlygood Acquires Rude Health amidst Shifts in the UK Plant-Based Milk Market

Oddlygood, a plant-based dairy company majority-owned by Finland’s Valio, has acquired the London-based alt-milk brand, Rude Health. This acquisition marks a significant expansion for Oddlygood in the UK, where it previously launched plant-based products including puddings last year and alt-milks earlier this year. Despite the growth of Rude Health, the broader UK plant-based milk market is experiencing a deceleration, according to co-founder Camilla Barnard.

Camilla Barnard, who co-founded Rude Health nearly two decades ago, mentioned that while the company has been thriving, the overall market remains competitive and relatively flat. Promotions have become frequent as brands vie for consumer attention amidst subdued sales growth. Barnard highlighted the necessity for brands within the plant-based sector to increase their consumer outreach and emphasise their environmental benefits to maintain relevance and growth.

The acquisition by Oddlygood is seen as a strategic move to revitalise the UK’s plant-based drinks sector. Oddlygood CEO Niko Vuorenmaa expressed optimism about reviving the competitive landscape, acknowledging the challenge posed by established players.

Rude Health’s annual revenue is projected to reach £28m by the end of the year, placing it among the top five UK brands in the plant-based drinks category. Barnard has expressed optimism about the future potential of plant-based milk, especially with increasing environmental awareness among consumers. However, she noted the challenges of attracting a broader consumer base, particularly those who are more conscious about their spending amidst challenging economic conditions.

With Oddlygood’s acquisition, Rude Health aims to expand further, leveraging Oddlygood’s resources and shared values. Rude Health CEO Tim Smith stated that the partnership opens new avenues for growth and innovation, focusing on taste and quality to make healthy choices more appealing to consumers.

Lactalis Invests $55m in US Production Expansion for Feta Cheese

French dairy giant Lactalis is investing $55 million to expand its production capabilities in the US. The company is installing a new 38,000-square-foot manufacturing line at its Tulare, California site, specifically to boost the production of feta under its Président brand to meet growing consumer demand. The new line, which became partially operational this year, is expected to be fully completed by 2027 and will create 20 full-time jobs.

Esteve Torrens, CEO of Lactalis’ US operations, cited rising consumer demand for Président feta as a key motivator for the expansion, with the aim of enhancing supply for retail customers and end consumers. The Tulare site also produces other dairy products, including Kraft Parmesan and Cottage Cheese. Lactalis acquired this facility through the purchase of cheese-related assets from Kraft Heinz in 2020.

This investment is part of Lactalis’ broader strategy to enhance its footprint and product offerings in North America, indicating a commitment to expanding its influence in the competitive US dairy market.

Missouri Court Clears Mead Johnson and Abbott Laboratories in Infant Formula Case

Reckitt Benckiser’s Mead Johnson unit and Abbott Laboratories have been exonerated by a Missouri court regarding claims that certain infant formulas could induce a serious gut condition called necrotizing enterocolitis (NEC) in premature babies. This ruling stems from a lawsuit filed by the Whitfield family, marking the first case against both manufacturers being resolved in their favour.

This verdict aligns with previous scientific consensus asserting that there is no confirmed causal link between the use of specific pre-term nutrition products and NEC, providing an essential, often life-saving source of nutrition where human milk is either unavailable or requires supplementation.

While this ruling closes one case, many similar cases are pending, numbering in the hundreds according to some estimates. A previous case saw Mead Johnson required to compensate $60m in damages to a plaintiff, while Abbott was ordered to pay a substantial sum in another case earlier in the year.

Reckitt has indicated that it will continue to defend vigorously against claims, upholding that the science does not support the litigation. This legal triumph may bolster Reckitt’s attractiveness to investors wary of risk, as suggested by Barclays analysts, who posit that a potential settlement scenario may see Reckitt resolving NEC liabilities for around $1bn in the coming years.

Source: Noah Wire Services