FILE PHOTO: A sign promoting McDonald's "PLT" burger with a Beyond Meat plant-based patty at one of 28 test restaurant locations in Ontario, Canada October 2, 2019. REUTERS/Moe Doiron/File Photo
Burger chain McDonald's Corp said it would debut its own plant-based meat alternatives called "McPlant" in 2021, ending speculations over who the world's biggest restaurant chain would partner with in a new frontier for the fast food industry.
The decision hit shares of plant-based meat maker Beyond Meat, which was seen as the front runner for a contract as it had conducted tests of a so-called "P.L.T." burger at nearly 100 McDonald's locations in Ontario, Canada, earlier this year.
Beyond Meat was not immediately available for comment. Its stock was down nearly 8% in morning trading, ahead of its quarterly results after market close.
McDonald's, which reported market-beating profit and revenue estimates for the third quarter on Monday, did not comment on why it did not continue with Beyond Meat's offerings in the United States.
"Plant-based products are an ongoing consumer trend. It's not a matter of if McDonald's will get into plant-based, it's a matter of when," McDonald's Chief Executive Officer Chris Kempczinski said on a call with analysts.
Analysts, rival fast-food companies and plant-based protein producers have been closely watching McDonald's plans as it is one of the few national chains yet to sell plant-based meat burgers on a permanent basis.
While other chains have started offering plant-based meat options, including Restaurant Brands International Inc's Burger King, White Castle and Dunkin' Brands Group Inc , a McDonald's contract could be the biggest and would put the plant-based meat movement front and center in mainstream America.
