Australian-listed food group OMG Group has secured firm commitments for A$1.5 million through a share placement, anchored by a A$350,000 investment from Slades Beverages, the Victorian manufacturer set to take over production of its Oat Milk Goodness range.
The placement was priced at A$0.007 per share, a 12.5% discount to the last traded price. Directors will contribute a further A$170,000 subject to shareholder approval, and a share purchase plan offered to eligible shareholders at the same price targets an additional A$250,000, bringing total new capital to roughly A$1.75 million. Settlement is expected in tranches, according to Business News Australia.
A co-manufacturer taking a position in its customer
Slades has produced beverages in Australia since the 1850s and remains family-owned, running a plant at Thomastown in Melbourne’s north and a second site in Ballarat with its own spring water source. Contract manufacturing now accounts for a substantial share of its output, and its existing capability already covers plant-based UHT milk. Slades says the OMG stake is the first time it has taken equity in a brand it manufactures, an arrangement rarely seen in plant-based dairy, where co-manufacturing relationships are typically transactional and easily switched.
“Slades has direct insight into our products”
OMG Group CEO Alex Aleksic said the two businesses expect closer coordination to reduce costs as volumes rise. “Slades’ $350,000 investment is particularly significant. As our future oat milk manufacturing partner, Slades has direct insight into our products and the opportunity ahead, and its decision to make its first equity investment into a brand it manufactures is a strong endorsement of OMG and the growth of our Oat Milk Goodness portfolio,” he said.
Oat Milk Goodness, co-founded by Australian cricketer Steve Smith, was acquired in 2024 by then-Forbidden Foods for A$3.42 million. The acquirer renamed itself OMG Group in May 2025 and also owns the Blue Dinosaur snack brand. Its PrOATein ready-to-drink line sits in a part of the milk alternatives category where protein content has become a primary purchase driver, with brands including Earth’s Own in Canada and Carlsberg Britvic in the UK adding fortified oat drinks over the past year.
The company has also flagged a proposed 10-for-one share consolidation, without confirming a timeline.
“With our expanded Woolworths ranging, the launch of Omura Matcha and Matcha Mode and strong sales momentum carrying into FY27, the additional capital leaves OMG well positioned to continue scaling the business and to achieve cashflow breakeven,” said Aleksic.
