Oatly Unveils Collaboration With Carvel Ice Cream Chain; Launches New Plant-based Treats

Oatly Group AB has partnered with Carvel, an ice cream franchise owned by Focus Brands, to introduce new dairy-free flavors. The sweet collaboration was announced on Monday, Jan. 22.

Oatly said it will add oat milk-based items to its favorite ice cream store in the United States. Carvel, best known for its soft-serve ice cream, will bring dairy-free frozen treats to customers nationwide through the chain's ice cream outlets.

Oatly's Shares Surge

Oatly and Carvel's collaboration announcement was good for the Swedish alternative dairy food manufacturer. This is because its shares shot up on Monday's trading following the report of the partnership.

According to CNBC, Oatly, which has a market cap of around $657 million, saw its shares go up by seven percent to $1.12 per share. This was a positive development for the company because its financial performance on Wall Street has been disappointing since its initial public offering (IPO) debut in 2021.

New Collaborative Ice Cream Flavors

Through its agreement with Oatly, Carvel will introduce five new plant-based treats to its customers. These will be sold in almost 300 stores located in 18 US states.

Moreover, the plant-based dairy maker said the deal will help Carvel serve customers with dietary restrictions or dairy allergies. Since the company makes healthier dairy alternatives, its products are primarily suitable for people who cannot consume regular dairy products.

In any case, the new flavors for Carvel's dessert items are Oatly Strawberry soft serve, Oatly Cookies & Cream Scooped, Oatly Chocolate Peanut Butter Scooped, Flying Saucer Sandwiches made with Oatly and Frozen Dessert Cakes made with Oatly.

"Carvel's iconic presence and longstanding success in the industry serve as a testament to its commitment to quality. With ice cream traditionally being reliant on cow's dairy, we are honored to collaborate with Carvel and present the first oatmilk-based, non-dairy frozen desserts available in Carvel shops," Oatly North America's executive vice president of commercial sales, Drew Martin, said in a press release. "We are excited that with the inclusion of our new menu items, all guests, including those with dairy allergies or who have certain dietary preferences, can enjoy an Oatly twist on Carvel's classic frozen favorites."

Carvel's chief brand officer, Jim Salerno, stated, "We are thrilled to bring Oatly products to Carvel. As the Original Soft Serve, we want to ensure guests enjoy the classic flavors and nostalgia of Carvel while we continue to innovate and expand to new guests. Oatly is the latest way we are breaking through to bring our guests a new offering we know there is a lot of excitement behind."

Photo by: Oatly Press Release