US food industry sees a rise of 9.5% in deal activity in September 2020

The US food industry saw a rise of 9.5% in overall deal activity during September 2020, when compared with the last 12-month average, according to GlobalData’s deals database.

A total of 23 deals worth $3.26bn were announced in September 2020, compared to the 12-month average of 21 deals.

M&A was the leading category in the month in terms of volume with 12 deals which accounted for 52.2% of all deals.

In second place was venture financing with ten deals, followed by private equity with one transactions, respectively accounting for 43.5% and 4.4% of overall deal activity in the country’s food industry during the month.

In terms of value of deals, M&A was the leading deal category in the US food industry with total deals worth $3.2bn, followed by private equity deals totalled $57.68m.

US food industry deals in September 2020: Top deals

The top five food industry deals accounted for 98.9% of the overall value during September 2020.

The combined value of the top five food deals stood at $3.22bn, against the overall value of $3.26bn recorded for the month.

The top five food industry deals of September 2020 tracked by GlobalData were:

1) Groupe Lactalis’ $3.2bn asset transaction with The Kraft Heinz

2) The $7.5m venture financing of Climax Foods by ARTIS Ventures, At One Ventures, Canaccord Genuity Group, Carrot capital, Global Founders Capital, Index Ventures, Luminous Ventures, Manta Ray Ventures, Prelude Ventures, S2G Ventures and Valor Siren Ventures I

3) Connetic Ventures, Jackson Springs Management Partners and Tracy McGrady’s $7m venture financing of PeaTos

4) The $4.7m venture financing of Spiceology by Cowles, Kickstart Funds III & IV and Ty Bennett

5) Bob Tobin, Jim Murphy and Steve Koch’s venture financing of LocalCoho for $4.6m.

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.