Oatly (OTLY) Announces Americas Oat Base Capacity Expansion to Support an Acceleration in Consumer Demand

Oatly Group AB (Nasdaq: OTLY) (“Oatly” or the “Company”), the world’s original and largest oat drink company, today announced an increase in oat base capacity at its Ogden, Utah facility in the Americas region to support an acceleration in consumer demand.

In the second half of 2021 the Company will start construction to add 75 million liters of finished goods equivalent oat base capacity. Total production will increase from an estimated 150 million liters annually at full production to an estimated 225 million liters annually to support the Company’s growth in 2022 and beyond. This will increase the Company’s total estimated capacity by the end of 2022 from 1,000 million to 1,075 million liters and from 1,400 million to 1,475 million liters of finished goods equivalent oat base capacity by the end of 2023. The Company expects its EMEA manufacturing combined with its two facilities in the Americas and two in Asia to create more than a 200% increase in its production output by the end of 2022 from the end of 2020. The Company will execute this capacity expansion within its stated plan for capital expenditures at the low end of $350 million to $400 million in 2021 provided at the time of its IPO.

Toni Petersson, Oatly’s CEO, commented, “In March of 2021 we opened Oatly’s first-ever end-to-end self-manufacturing production facility in the Americas region and we’re excited that based on an acceleration in consumer demand in the region we are already increasing capacity with construction starting in the second half of this year. We continue to generate strong growth in the U.S. and globally with our proven multi-channel expansion strategy in more than 20 markets, across multiple sales channels and segment. We believe the fundamentals of our business are stronger than ever as consumer demand continues to accelerate, and we are increasing production capacity globally to meet that growing demand. Oatly remains well-positioned for long-term global growth as we look to enhance value for all stakeholders.”

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