Food industry M&A deals in Q2 2019 total $2.94bn globally

Total food industry M&A deals in Q2 2019 worth $2.94bn were announced globally, according to GlobalData’s deals database.

The value marked a decrease of 49.1% over the previous quarter and a drop of 70.3% when compared with the last four-quarter average, which stood at $9.93bn.

Comparing deals value in different regions of the globe, Europe held the top position, with total announced deals in the period worth $1.13bn. At the country level, Belgium topped the list in terms of deal value at $1.11bn.

In terms of volumes, North America emerged as the top region for food industry M&A deals globally, followed by Europe and then Asia-Pacific.

The top country in terms of M&A deals activity in Q2 2019 was the US with 42 deals, followed by the UK with eight and Australia with six.

In 2019, as of the end of Q2 2019, food M&A deals worth $9.35bn were announced globally, marking a decrease of 61.9% year on year.

Food industry M&A deals in Q2 2019: Top deals

The top five food industry M&A deals accounted for 78.7% of the overall value during Q2 2019.

The combined value of the top five food industry M&A deals stood at $2.32bn, against the overall value of $2.94bn recorded for the quarter. The top announced food industry M&A deal tracked by GlobalData in Q2 2019 was THE GB FOODS’s $1.11bn acquisition of Continental Foods Europe.

In second place was the $371.75m acquisition of Hylife by CPF Canada Holdings and in third place was Olam International’s $359.28m acquisition of Dangote Flour Mills.

The $250.51m asset transaction with Fonterra Co-operative Group by Froneri and Henan Kedi Dairy Industry’s acquisition of Quick Frozen Food for $221.28m held fourth and fifth positions, respectively.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.