Food & Beverage Update : Third Quarter 2010
Deloitte Financial Advisory Services
This quarter’s Food & Beverage Update, produced by Deloitte Financial Advisory Services, summarizes the most recent transactions along with information on the most active buyers, current transaction valuation multiples and an overview of the public market’s perception of the industry.
This quarter’s highlights
During the third quarter of 2010, 898 M&A transactions have been announced in Europe, increasing by 22% compared to the 735 transactions observed during the third quarter of last year. For the third consecutive quarter, share of private equity players in total transaction volume increased: from 19% in Q4,09, to 31% in Q3‟10. This positive trend for private equity players reflect the progressive return to more favourable leverage opportunities as well as their involvement in larger scale transactions.
As far as F&B M&A activity is concerned, 70 transactions have been announced in Q3‟10, which is in line with the past two quarters and double the number realised in Q3‟09. In total, 225 transactions have been announced during the last twelve months. Average deal size amounting to EUR 147m in Q3‟10 remained stable with past quarters but still lies below levels which prevailed before the financial crisis. This information must be used carefully as number of deals with disclosed EV is very limited.
Download the Food & Beverage Update below.