Market Monitor: Food & Beverage
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Market Monitor: Food & Beverage
Making the right decisions for your business starts with having the most accurate and current information available. Our Food & Beverage Market Monitor keeps you up to date on the events, trends, and market forces that shape and guide the industry’s M&A trends.
U.S. Food & Beverage M&A Activity in 2024
Through November 2024, U.S. Food & Beverage M&A volume has increased by 7% compared to the same period in 2023. A 15% rise in private equity transactions suggests a stronger M&A market overall.
Snacking Category Sees Growth
With snacking becoming more popular—74% of Americans report snacking daily according to the 2024 IFIC Food & Health Survey—2024 has seen significant deals in this area. Notable acquisitions include PepsiCo’s purchase of Siete Foods for $1.2 billion and Mars’ acquisition of Kellanova for $35.8 billion. cautious approach from acquirers and investors.
Baked Goods Continue to Attract Interest
The baked goods category remains a strong focus for M&A, with private equity firms making several acquisitions in 2024. Examples include:
- Legacy Bakehouse (Benford Capital Partners) acquiring Angelic Bakehouse
- Sweetmore Bakeries (Shore Capital) acquiring Sweet Eddie’s
- Commercial Bakeries (Graham Partners) acquiring Imagine Baking
These deals highlight continued interest in the sector.
Potential Impact of Tariffs and Domestic Sourcing on M&A
While the effects of the incoming Trump administration’s proposed tariff policies and the “Make America Healthy Again” agenda are still uncertain, companies that focus on domestic sourcing, manufacturing, and clean-label products may be better positioned for acquisition.
Looking Ahead: M&A Activity in 2025
Hexagon Capital Alliance expects M&A activity to remain strong in 2025, supported by factors such as a post-election certainty, potential for looser regulatory scrutiny in the financial sector, record levels of private equity dry powder, strong strategic balance sheets, and a steadily improving interest rate environment. Companies looking to attract investors and buyers should consider going to market in Q1 2025.
For more information or questions, please contact our contributors:
Rich Anderson, Managing Director: randerson@
Johnny Sherwood, Director: jsherwood@