FNP v Oatly, page-9

I think Neilus is right on. The hot sector and the future of FNP is plant based beverage (PBB), Annualised revenue of PBB is $150m and EBITDA of $30m (based on half year FY21 results) vs Oatly US$470m revenue and losses. Having completed the Recap, the next focus, I think, must be to settle the Blue Diamond litigation, ASIC and Class Actions. IMHO company can't toot toot its PBB potential yet because the legal battles/actions (1) consume enormous management time (2) parading your crown jewels now only emboldens, provoke and give legit reasons for the litigants to pursue even higher payouts. Best to lie low and work quietly to build Milklab exports (exports are challenging - not directly replicable). The competitive landscape is evolving rapidly, and increasing; with private equity /sovereign funds pouring billions in plant based foods globally. (Oatly and Bonsoy are retailing at $4.80/litre in Coles vs Milklab at Officeworks $7.00/litre (pickup), Amazon $4.40/litre (b4 delivery charges) Management has to work hard and quickly for the real value of its PBB business to be fully captured in the price. All IMHO.