Containers of Oatly frozen desserts are displayed on a shelf at a Whole Foods store on November 15, 2021 in San Rafael, California.
Justin Sullivan | Getty Images
Oatly and Carvel said Monday they will work together to add oat milk-based items to the chain's ice cream stores nationwide.
The deal is a boon for Oatly, which has struggled to regain the enthusiasm investors had for the plant-based milk company when it made its stock market debut in 2021. Shares rose about 7% in Monday trading.
Oatly, a Swedish company with a market capitalization of about $657 million, saw its shares trading around $1.12 per share on Monday. The company's financial performance has repeatedly disappointed Wall Street since its IPO, wiping out its stock value since the day it opened trading in 2021 at $22.12 per share.
Carvel, a chain known for its soft serve ice cream, will add five new plant-based desserts to its menu as part of the partnership. The Oatly flavors will be available in nearly 300 Carvel stores in 18 states.
Oatly products include strawberry soft serve and scoop cookies, cream and chocolate peanut butter flavors, along with baked goods.
Oatly said the partnership will help the ice cream store chain serve people with dairy allergies or dietary restrictions. In recent years, more consumers have embraced plant-based milks, and oat milk is starting to make up a larger share of that segment.
Jim Salerno, chief brand officer at Carvel, added in a statement that “Oatly is the latest way we're breaking through to bring our guests a new offering that we know has a lot of excitement behind it.”