M&A Quarterly News In The Food and Beverage Industry Sector

M&A Quarterly News In The Food and Beverage Industry Sector

By Terry Fick

March 28, 2018

The first quarter M&A below provides you a good overview on activities in the Food and Beverage Industry Sector.

M&A activity for North American based target companies in the Food and Beverage sector sector for Q4 2017 included 72 closed deals, according to data published by industry data tracker FactSet.

One of the notable transactions of the quarter was announced in October when Ferrero SpA acquired Ferrara Candy Co, Inc., a portfolio company of Catterton Management Co LLC, for a reported value of US$1.3 billion, including debt. The acquisition expands Ferrero SpA’s product offerings and footprint into United States markets.

Foods centered on health and wellness continue to grow year over year.

Industry Indicators

  • The consumer price index for food, an indicator of food product values, rose 1.7% in January 2018 compared to the same month in 2017.
  • US nondurable goods manufacturers’ shipments of food products, an indicator of demand for food manufacturing, rose 5.0% year-to-date in December 2017 compared to the same period in 2016.
  • US retail sales for food and beverage stores, a potential measure of food demand, increased 4.3% in the first month of 2018 compared to the same period in 2017.
  • Total US wholesale sales of nondurable goods, a potential measure of food demand, rose 5.4% in December 2017 compared to the same period in 2016.

Posted by Terry Fick.

Read the Entire Food & Beverage 1st Quarter Newsletter Here