Moma was founded back in 2006 in Deptford
(Picture: Moma)Irn Bru owner AG Barr has made a first move into the wellness market, signing a deal to buy Deptford-based oat milk and porridge maker Moma Foods.
It is a new step for the Scottish firm, currently behind the classic soda, juice brand Rubicon and pre-made mixers Funkin Cocktails. It has taken an initial 60% stake in Moma - the UK's third-biggest oat milk brand - and agreed a path to full ownership over the next three years.
AG Barr is looking to capitalise on soaring millennial and Gen Z demand for plant-based milk alternatives, which has seen Moma rival Oatly valued in the billions.
Boss Roger White said he is delighted to be entering such a "fast-growing category".
It comes as competition in the space heats up. Fellow listed soft drink producer Britvic snapped up another London-based health drink brand, Plenish, for an undisclosed sum earlier this year. The London-based company, which was founded in 2012 by New York-born entrepreneur Kara Rosen, is stocked in Waitrose and M&S.
Moma was launched in 2006 by founder Tom Mercer in south east London, and also makes low sugar granola and other oat-based products.
Mercer said selling to AG Barr will allow his brand to grow "significantly bigger".
Shares in AG Barr rose 1.2%, or 6.3p, to 526p, this morning on the update.
