Once Upon a Farm Pops 17% After NYSE Listing

Once Upon a Farm PBC, the organic children’s nutrition company co-founded by actress Jennifer Garner and former Annie’s CEO John Foraker, raised US$197.9 million (MX$3.3 billion) in its initial public offering on the New York Stock Exchange (NYSE). The company’s shares, trading under the ticker symbol "OFRM," jumped more than 17% in their trading debut on Friday, signaling a potential revival in consumer-focused IPOs heading into 2026.

The Berkeley, California-based company and certain existing stockholders offered 11 million shares priced at US$18 each. The final price landed at the midpoint of the marketed range of US$17 to US$19. Investor demand was strong, with sources familiar with the matter indicating that the offering was more than 12 times oversubscribed.

The stock opened at US$21.00, representing a 16.7% premium over the offer price, and reached an intraday high of US$22.00 before closing at US$21.05. Based on the shares outstanding disclosed in its prospectus, the closing price values Once Upon a Farm at approximately US$847 million in market capitalization.

John Foraker, CEO, Once Upon a Farm, said in an interview that the public listing provides the company with a strategic advantage. “The IPO gives us access to capital, which puts us in a position to make some really great investments in our supply chain, drive efficiencies, and continue investing in our brand,” Foraker said. “It is also a marker of credibility and puts us in a position to continue to lead our categories.”

A Rebound for Consumer IPOs

The successful debut follows several years of muted activity in the consumer-facing IPO market. Listings on US exchanges in this segment raised US$17.4 billion in 2021, but aggregate proceeds since then have totaled only US$15.6 billion. Analysts suggest that pent-up demand and a growing pipeline of issuers could position 2026 as a stronger year for new listings.

“Once Upon a Farm demonstrates that high-quality, mission-driven consumer brands with solid fundamentals can successfully access the public markets,” said Brett Thomas, co-founder, CAVU Consumer Partners. “We believe this transaction could catalyze renewed investor interest in the consumer category and help reopen the IPO window for strong brands.”

The week’s market activity also included other consumer debuts, such as furniture retailer Bob’s Discount Furniture. Potential IPO candidates for 2026 include Blackstone-backed Jersey Mike’s Subs and Wella Company, owner of OPI nail polish and backed by KKR. Beverage company Suja Life also filed confidentially for an IPO last year.

Financial Performance and Use of Proceeds

Once Upon a Farm reported strong revenue growth leading up to its listing, though it remains unprofitable as it continues scaling operations. According to its SEC filings, the company generated revenue of US$176.7 million for the nine months ended Sept. 30, 2025, compared with US$107.6 million in the corresponding period of 2024.

Net losses widened to US$39.8 million during the same period, up from US$11.6 million a year earlier, reflecting higher operating and expansion costs. Gross margin for the first nine months of 2025 was 40%, slightly down from 42% in the prior year. The company’s cold-pressed pouches account for the majority of net sales.

The IPO proceeds are expected to be used for general corporate purposes, including:

• Repayment of outstanding debt

• Investment in manufacturing and supply chain equipment

• Working capital and general corporate expenses

• Cash payments related to a spokesperson agreement

As of its Jan. 26 filing, CAVU Venture Partners held the largest stake at 27.5%, followed by S2G Investments at 14% and Cambridge Companies SPG at 9.3%. Prior to the IPO, the company had raised US$52 million in a 2022 funding round and surpassed US$100 million in retail sales that same year.

Founding and Executive Compensation

Once Upon a Farm was founded in 2015 by Cassandra Curtis and Ari Raz. Garner and Foraker joined as co-founders in 2017. The company focuses on premium organic children’s products, including cold-pressed pouches, frozen meals, oat bars, and smoothie blends, emphasizing no-sugar-added ingredients and nutritional transparency.

Garner has served as a prominent advocate for the brand, participating in the formal roadshow and investor meetings. “I work to add value and stay involved in any way I can across all aspects of the business,” Garner said. “I build meaningful relationships with our retail partners. Sales, marketing, and supply chain teams all view me as part of their efforts.”

Company filings show that Garner receives compensation for her role as board member and co-founder. She has already received US$1 million and stock options under a 2022 agreement. Under the current schedule, she is set to receive US$2 million on Jan. 31, 2026; US$2 million on Jan. 31, 2027; and US$3 million on Jan. 31, 2028. She is also eligible for a cash bonus tied to the IPO price.

Operational Risks and Supply Chain

Despite the strong debut, Once Upon a Farm highlighted potential operational risks in its prospectus. The company sources a significant portion of its fruit and vegetable ingredients from Mexico and South America. It warned that trade barriers, tariff volatility, or supply chain disruptions could lead to ingredient shortages or higher production costs.

“We believe the market opportunity for better-for-you baby and kids’ food is significant,” Foraker said, pointing to growing demand among Millennial and Gen Z parents for organic and minimally processed products.

The company’s retail footprint spans more than 2,800 physical stores, including Walmart, Target, Kroger, and Whole Foods. The IPO was originally filed in September 2024 but was postponed until early 2026 due to the extended US government shutdown, which Foraker said “interfered with the original timeline.”

The offering was led by joint book-running managers Goldman Sachs and J.P. Morgan, with Bank of America and William Blair & Co. also serving as lead underwriters.

Broader Consumer Trends

The performance of OFRM is being viewed as a potential bellwether for brands in the “better-for-you” segment. Industry analysts note that consumer demand for ingredient transparency and health-oriented children’s nutrition continues to influence purchasing behavior. While companies such as Cava Group have posted strong gains following their IPOs, others—including Webtoon Entertainment—have struggled, underscoring the importance of profitability pathways and disciplined growth.

With the IPO window showing signs of reopening, investors are closely watching OFRM’s post-listing performance to assess whether mission-driven consumer brands can sustain premium valuations while navigating complex global supply chains and inflationary pressures.