Food and Beverage (“F&B”) M&A continues to see strong activity. Year-to-date 2015 transaction volume of 190 deals is just below pace of 2014 record levels.
For year-to-date 2015, strategic buyers accounted for 86% of F&B M&A transactions. During 2014, strategic buyers accounted for just over 91% of the transactions.
F & B transaction activity has been strong, with valuation trends near historical highs. YTD 2015, F&B multiples were approximately 10.4x EBITDA and 1.6x revenue.
Many F&B categories continue to outperform the S&P 500.
Notable publicly announced 2015 M&A transactions:
– B&G Foods North America, Inc. entered into a definitive agreement to acquire General Mills, Inc., Green Giant and Le Sueur Stable and Frozen Vegetable Business for approximately $765 million.
– Swift Pork Co. signed a definitive agreement to acquire Cargill Pork, LLC for approximately $1.45 billion.
– The Kraft Heinz Company signed a definitive agreement to acquire Kraft Foods Group, Inc. for approximately $55 billion.
-Hormel Foods Corporation entered into a definitive agreement to acquire Applegate Farms LLC for $775 million.
– Post Holdings, Inc. entered into a definitive agreement to acquire MOM Brands Company for $1.15 billion.
Notable IPO’s include: Albertson’s, WhiteWave Foods, Wayne Farms, Pinnacle Foods and Eastside Distilling.Download Report