USA – Oats Overnight, a leading brand specializing in high-protein, spoon-free oatmeal, has raised US$35 million in a Series B funding round.
The investment will support the company’s expansion in the retail channel, further development of its manufacturing and distribution footprint, and drive innovation in collaboration with its growing community of subscribers.
The Series B financing builds upon the approximately US$20 million the company received in its Series A round last year, which was used to fund a new 86,000-square-foot production facility in Phoenix, Arizona. This facility, which opened in June, adds to Oats Overnight’s existing 62,000-square-foot plant in West Chester, Ohio.
Founded in 2016 by former professional poker player Brian Tate, Oats Overnight has since introduced over 50 flavors of its innovative oatmeal drinks.
The company’s unique approach involves testing new products with its approximately 250,000 subscribers before rolling them out online and in retail stores such as Walmart, Target, and Whole Foods Market.
“This capital will help us continue our expansion in the retail channel, further develop our manufacturing and distribution footprint, and drive new innovation in collaboration with our community of subscribers,” said Brian Tate, founder and CEO of Oats Overnight.
The Series B round was led by Enlightened Hospitality Investments (EHI), a pioneering investment firm co-founded by Danny Meyer. EHI was joined by new investor Sonoma Brands Capital and returning investors Singh Capital Partners, Morrison Seger Venture Capital Partners, and BFG Partners.
“We are proud to partner with Oats Overnight to join them on their mission to make nutrition both craveable and convenient,” said Danny Meyer, co-founder and managing partner of EHI. “We are impressed by their innovative approach to product development and ability to commercialize product lines across digital and retail footprints.”
Oats Overnight’s success is built upon its unique approach to product development, which involves working closely with subscribers to fine-tune formulas before launch. This iterative process ensures that the company’s innovation pipeline remains aligned with consumer preferences and expectations.
“Now more than ever, consumers are looking for protein-rich, craveable food,” said Nina McKinney, Oats Overnight’s Chief Strategy Officer. “Our model allows us to create products that meet these expectations faster than ever before.”
The company’s commitment to in-house manufacturing also plays a key role in its success. “Controlling the process from procurement to fulfillment has been a key tenet of our business since inception,” said Vincent Comerford, Oats Overnight’s Chief Operating Officer.
“Complete ownership of our supply chain increases resilience while owning manufacturing allows us to produce high-quality products in an iterative way.”
With the new funding in place, Oats Overnight is poised to accelerate its growth and continue delivering innovative, nutritious, and delicious oatmeal products to its rapidly expanding customer base.
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