San Francisco-based infant formula company Bobbie has acquired Ohio-based pediatric nutrition company Nature’s One. The acquisition positions Bobbie as the third largest fully integrated brand in the U.S. infant formula industry and strengthens domestic manufacturing. The move comes just one year after a nationwide infant formula shortage highlighted the need for industry reinvention.
Bobbie’s acquisition of Nature’s One is backed by a $70M Series C funding round led by PowerPlant Partners who contributed $35M. Bobbie has raised $142M to date.
The acquisition brings with it a state-of-the-art infant formula manufacturing facility, which allows Bobbie to control every aspect of manufacturing, from sourcing raw materials to production and canning. Once the facility is fully dedicated to infant formula production, Bobbie plans to serve 15% of the non-WIC market, tripling the number of babies it can provide for. Bobbie will also continue manufacturing Nature’s One products under the Baby’s Only brand.
Laura Modi, CEO and Co-founder of Bobbie commented: “From inception, Bobbie’s mission has been centered around evolving the infant formula industry and this acquisition is one of the biggest diversification moves in this very concentrated industry. There is no one better suited to help us pursue this vision than Nature’s One’s founder, Jay Highman, the godfather of organic formula — he revolutionized the industry decades ago with his dedication to purity, accessibility, and safety and this best-in-class facility is no exception. Owning end-to-end production while also continuing our valued partnership with Perrigo is critical as we scale and build the resiliency needed for the future.”
She continues: “We believe that American companies can and should be feeding American babies. Let’s not forget that just one year ago, during the height of the infant formula shortage, we were celebrating overseas formulas being flown in on pallets to fill U.S. shelves, with little regard for how our industry might prepare longterm to solve the issues that led to the crisis in the first place. I won’t claim that Bobbie is the cure-all solution, but this certainly marks a step in the right direction for the industry at-large, and as a mom first and CEO second, I’m immensely proud of that.”
Jay Highman, Founder of Nature’s One, adds: “Nature’s One takes great pride in our evidence-based approach from the ingredients, to the state-of-the-art facility, and the team that has spent years to ensure our formula is safe, nutritious, and accessible for families. By handing the keys to Bobbie, it helps grow our reach and carries forward our message of purity.” Highman will continue to be involved as the Executive Director of Nature’s One and a key shareholder in the combined entity.
Bobbie has achieved remarkable growth since its inception, becoming the first infant formula company to break into the top five in the last 30 years. The company serves over 5% of the non-WIC market and has experienced a YoY growth rate of 394%, outpacing the rest of the infant formula market.