McDonald’s new P.L.T. A plant-based burger is photographed outside of one of the company’s test locations in London, Ontario on September 30, 2019.
GEOFF ROBINS | AFP | Getty Images
MC Donalds will be testing a meat-free burger in multiple markets over the next year by adding plant-based menu offerings that he has referred to as “McPlant”.
International President Ian Borden said McPlant was created “by McDonald’s and for McDonald’s”. Borden said the McPlant line could include chicken substitutes as well.
McDonald’s has yet to announce the suppliers for the line. A company spokesman declined to identify its supplier, but said McDonald’s won’t make the products.
But a spokesman for Beyond meat A statement to CNBC said the company helped develop the plant-based patty, which will be available as part of the McPlant line. Beyond’s shares rose up to 4% in afternoon trading, after falling as much as 6% the previous Monday. The stock, which was temporarily halted in both the morning and afternoon due to volatility, is currently down less than 1%.
McDonald’s began testing a meatless burger that used a meatless patty from Beyond at several dozen Ontario restaurants in September last year. By April the chain had finished piloting and has since stated that it has no plans to end their P.L.T. Burger at that time.
Former McDonald’s CEO Don Thompson, who invested early in Beyond, sits on the plant-based meat company’s board of directors. Investors have speculated that the link between the two companies could mean a long-term partnership and could turn Beyond into a supplier to the largest US restaurant chain by sales.
Other McDonald’s international markets have had more success with meatless burgers. For example, restaurants in Germany have added vegetarian burgers from Nestle to their menus.
Chris Kempczinski, CEO of McDonald’s, told investors that the markets will decide if and when to add McPlant items to their respective country. He added that the exact pace will be determined by consumer demand.
Rival Burger King that belongs Brands International Restaurantreleased a plant-based whopper in the US last year with a patty that was privately made by Impossible Foods.
McDonald’s shares rose less than 1% in afternoon trading. It used to be The company reported third-quarter earnings and sales that exceeded analyst estimates. It also has published an investor updateForecast of system-wide revenue growth in the mid-single-digit range in 2021 and 2022 and additional information on its strategy to increase revenue.
Beyond is expected to release its third quarter results after the bell on Monday.