Canada-based startup Oatbox announced the closing of a $7.1 million financing round from financial partners, including Desjardins Group, the Government of Quebec, through its representative Investissement Québec and Canada Economic Development for Quebec Regions (CED). This funding will enable Oatbox to finalize the construction of its own oat base manufacturing facility. Located in St-Damase, Quebec, Oatbox says the plant will allow it to develop a wide range of plant-based oat products, such as beverages, as well as partner with companies requiring oat base for their operations.
"This funding is a strong endorsement of our business plan and will allow us to have excess production capacity in order to sell oat base to other food processors in Eastern Canada or the Northeastern part of the United States. There is a shortage of quality oat base on the market. However, it is a perishable product. Both food processors and consumers will benefit from a fresher product, as it is processed locally and transported over shorter distances," says Marc-Antoine Bovet, co-founder and president of Oatbox.
Oatbox has been working for two years on the development of its Canadian oat milk. The financial support will be used to finalize the construction of a world-class production line, the company states. The new plant far exceeds Oatbox's needs for its own product lines.
"Rather than seeing other processors in the American Northeast as competitors, we will be very proud to be able to provide them with our high-end oat base to maximize our positive impact on society. It is clear to Oatbox that oats are part of the solution to the Earth's environmental challenges and represent a healthy and tasteful alternative. Thanks to this major investment, Oatbox will be able to remain at the forefront of trends and offer its customers an ever-growing offer adapted to their lifestyle," says Bovet.