Califia Farms raises $225M to scale plant-based dairy everything
Got Plant?... Califia Farms does, and it wants to take over the nut-based dairy market. The alt-milk maker just got a $225M check in its latest funding round (led by a Qatar's state-owned fund). Califia makes Vanilla Almondmilk Creamer, Unsweetened Oatmilk, and even Nitro Cold Brew Latte (with oat milk, duh).
- Fruit-full: Founded in 2010, Califia started as a juice company for "imperfect" fruits (a weirdly-shaped carrot is still totally juicable).
- Plant-full: It's pivoted to dairy subs only, becoming the #3 biggest plant-based milk maker (you might recognize their dress-shaped bottle).
- Cash-full: The company will use its fresh cash to go deeper into plant-liquid-based options (think creamer, yogurt, and ice cream).
Feel-good mission + aesthetic packaging... But can that beat alt-dairy rivals like hipster Oatly, lactose-legend Chobani, or pea-based Ripple? We know plant-based milks have disrupted the dairy industry (US consumption of cow milk keeps dropping). So Califia is trying to stand out with its brand, but...
Does brand matter?... Customers will often pay more for a premium brand they know/trust/love. And brands matter for plant-based meat: Impossible Whopper and Beyond Breakfast Sandwich. But alt-milk... might just be alt-milk. Starbucks offers almond milk, but doesn't advertise the brand in your latte. Califia's using its fresh cash to build a brand to beat that.