Meati Foods, the alternative protein maker, has recently appointed Phil Graves as its new chief executive officer. This decision comes after Graves served as the company’s chief financial officer at the beginning of February. Co-founder Tyler Huggins will now take on the role of chief innovation officer, focusing on the brand’s refocus as Meati, the maker of alternative protein cutlets and steaks from mycelium, or mushroom root, plans to roll out more of its MushroomRoot product in 2024.
Key Takeaway
Meati Foods has named Phil Graves as its new CEO and is undergoing a 13% reduction in its workforce as part of its efforts to build a financially sustainable business.
Workforce Reduction and Financial Sustainability
Graves emphasized the company’s focus on building a financially sustainable business, stating that the right organizational structure and team are essential for this endeavor. As a result, Meati Foods is implementing a 13% reduction in its workforce. While the exact number of jobs affected was not disclosed, the company had approximately 150 employees in 2022. Severance packages for the impacted employees are currently being determined.
Expansion Plans and Funding
Despite the reduction in workforce, Meati Foods is actively pursuing expansion. The company’s products are now available in over 3,600 retail locations nationwide, including prominent stores such as Whole Foods Market, Meijer, Cub Foods, and Sprouts Farmers Market. Graves has set a goal to expand the product’s presence to 10,000 locations by the end of 2024.
Meati Foods has also attracted significant venture capital funding, with a recent Series C funding round raising over $200 million. This funding has been instrumental in the development of the company’s 100,000-square-foot “Mega Ranch” facility, which has significantly increased its production capacity.
Path to Profitability
Graves emphasized the importance of showcasing a clear path to profitability within the next 12 months. He aims for the company to achieve EBITDA positivity and has outlined a strategic plan to attain this goal. With these changes, Meati Foods is focused on demonstrating its financial viability while continuing its expansion and production ramp-up.
Leadership Transition
Phil Graves brings a wealth of experience to his new role at Meati Foods, having previously served as the CEO of Wild Idea Buffalo Co., a company focused on sustainable meat production. His leadership is expected to guide the company towards financial sustainability while co-founder Tyler Huggins concentrates on product and brand development.
As Meati Foods undergoes these strategic changes, the company remains committed to its founding purpose of promoting the health of people and the planet through the innovative potential of natural ingredients.
