Key Observations
- Scale drove July activity. M&A deal count was flat at 22 transactions, but disclosed value more than tripled to $5.0 billion, driven by two transactions above $1 billion
- Cross-border buyers remained active. European strategics accounted for several notable transactions during July, including Intersnack’s acquisition of Utz
- Sponsors continued to recycle capital. Three sponsor-to-sponsor transactions were announced, while add-ons continued to outpace new platform investments
- The restaurant exit window reopened. Jersey Mike’s priced a $1.0B IPO at the midpoint of its range, reportedly ~15x oversubscribed, reinforcing the public market path for scaled franchisors
- Wheat is a commodity to watch. USDA projects the smallest US wheat crop since 1970/71, increasing forward cost risk across bakery, pasta and brewing
Monthly Activity + Mix
July US food, beverage and agribusiness M&A was defined by scale rather than breadth. Strategic buyers accounted for ~65% of M&A activity, financial sponsors ~25% and hybrid structures accounted for the remainder.
Utz was the month’s largest transaction implying a normalized EBITDA multiple of 12.4x. The multiple is near the mid-point of the 1st to 3rd quartile range of 9.3x – 14.3x and modestly above the median for the sector, underscoring continued demand for highly scalable, differentiated assets.
