FOOD AND BEVERAGE INDUSTRY UPDATE
│ OCTOBER 2015
www.harriswilliams.com Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
WHAT WE’RE SEEING MARKET UPDATE Food & Beverage companies have been active participants in the M&A markets in 2015 with nearly 400 announced and completed transactions year-to-date.* HW&Co. anticipates an active marketplace for the remainder of the year as both strategic and financial buyers have a strong willingness to pay for platforms with unique growth potential. Strategic buyers continue to leverage the strength of their balance sheets to pursue growth-oriented acquisitions, as illustrated by a series of transactions over the last few weeks, including Treasury Wine Estates’ acquisition of Diageo’s U.S. and U.K. wine assets, Clearwater Seafood’s acquisition of Macduff Shellfish and Bunge America’s acquisition of Whole Harvest Foods. Additionally, SABMiller agreed to preliminary terms to be bought out by rival brewer AB InBev in what would be the largest LBO ever.
WHAT WE’VE BEEN DOING CLOSED HW&CO. TRANSACTIONS
a portfolio company of
a portfolio company of has been acquired by
has been acquired by
has been acquired by
has been acquired by
A Private Investor Group
CONTENTS INDUSTRY VITAL SIGNS EQUITY MARKET OVERVIEW M&A MARKET OVERVIEW DEBT MARKET OVERVIEW RECENT M&A ACTIVITY PUBLIC COMPARABLES EARNINGS CALENDAR GROUP OVERVIEW Harris Williams & Co. is a leading advisor to the food and beverage market. Our significant experience covers a broad range of end markets, industries, and business models. This particular report focuses on trends and metrics in the following areas: Agribusiness Baked and Prepared Goods Beverages Branded and Private Label Dairy Distribution Ingredients Meat and Protein Natural and Organic Processing Produce Restaurant and Retail Snacks
CONTACTS Glenn Gurtcheff Managing Director
[email protected] +1 (612) 359-2702
a portfolio company of
has divested selected assets to
a portfolio company of has acquired
has been acquired by
and
has been acquired by
Tim Alexander Managing Director
[email protected] +1 (612) 359-2716 Ryan Budlong Director
[email protected] +1 (415) 217-3409 Brant Cash Director
[email protected] +1 (612) 359-2709
a portfolio company of
a portfolio company of
Ryan Freeman Vice President
[email protected] +1 (612) 359-2703
a portfolio company of has been acquired by
has been acquired by
has been acquired by
has been acquired by
and
* 2015 M&A transactions include European and cross-border transactions.
Andy Warczak Vice President
[email protected] +1 (612) 359-2714
www.harriswilliams.com
PAGE | 1
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
WHAT WE’RE READING STARBUCKS TO MOVE TOWARD CAGE-FREE EGGS Starbucks recently announced that they plan to offer only cage-free eggs in North America by 2020. This follows suit with other quick service concepts such as McDonalds and Burger King who are working toward achieving similar goals. Starbucks’ program is being hailed by the Humane Society of the United States as “The most comprehensive animal welfare policy of any restaurant chain.” This also reflects a growing demand amongst consumers to be provided more ethically prepared food and has driven concerns amongst other livestock producers. Access to the full article here. GENERAL MILLS RECALLS 1.8 MILLION BOXES OF GLUTEN-FREE CHEERIOS General Mills announced it is recalling 1.8 million boxes of gluten-free Cheerios after consumers with gluten allergies reported adverse reactions upon consumption, prompting General Mills to suspect that the cereal might include wheat. General Mills has been offering more gluten-free products and working to remove artificial colors and flavors across its brand portfolio. These efforts are designed to address recent sales declines at General Mills and respond to growing demand for natural and healthy foods among its customer base. The recall has also highlighted worries of the gluten-free community regarding reliance on labeling laws. Access to the full article here. SABMILLER BOARD ACCEPTS KEY TERMS OF OFFER BY AB INBEV After multiple offers by AB InBev, SABMiller’s board finally agreed to accept the most recent offer of £44 per share, which now marks a ~50% premium to SABMiller’s share price prior to deal speculation. The deal is expected to face rigorous antitrust scrutiny and will need regulatory approval in order to be completed. Regulators will likely require divestitures in the U.S., China, and Latin America prior to granting approval for the deal. AB InBev currently controls 45% of the U.S. beer market with SABMiller controlling a further 25% through MillerCoors. Access to the full article here.
VITAL SIGNS COMMODITY PRICE INDICES1 Commodity Price Index
140 120
Soybeans: (34.1%)
100
Corn: (44.0%)
80
Wheat: (45.2%)
60 40 Sep-11
Mar-12
Sep-12 Corn
Mar-13
Sep-13
Soybeans
Mar-14
Sep-14
Wheat
Mar-15
Crude Oil: (54.1%) Sep-15
Crude Oil
PROTEIN PRICE INDICES2,3
Protein Price Index
150
Beef:
140
Pork:
130 120
7.6%
Poultry: 4.0%
110 100 90 Aug-11
34.6%
Feb-12
Aug-12
Feb-13 Beef
Aug-13 Pork
Feb-14
Aug-14
Feb-15
Aug-15
Poultry
PAGE | 2
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
VITAL SIGNS RESTAURANT AND GROCERY STORE SALES INDICES4
Sales Index
140
120
Restaurant: 25.9%
100
Grocery: 9.8%
80 Aug-11
Feb-12
Aug-12
Feb-13
Aug-13
Restaurant
Feb-14
Aug-14
Aug-15
Feb-15
Grocery
CONSUMER FOOD PRICE INDEX INFLATION2
Inflation (%)
5.5 4.0 2.5 1.0 (0.5) Aug-11
Feb-12
Aug-12
Feb-13
Aug-13
Feb-14
Aug-14
Feb-15
Aug-15
PUBLIC EQUITY MARKET OVERVIEW KEY TRADING STATISTICS5
Consumer and Retail
Food and Beverage
Inputs
Industry and Segment Protein Processing Fruit and Vegetable Ingredients / Flav ors Agribusiness Branded Processed Foods Priv ate Label Foods and Bev erages Natural / Organic Foods / BFY Baked Goods Dairy Non-Alcoholic Bev erages Alcoholic Bev erages Snacks Grocery Distribution Food Retail Foodserv ice Quick Serv ice Restaurant Fast Casual Differentiated Casual Casual Dining Restaurant Fine Dining Pizza Bev erage / Snack Retail Family Restaurant
Overall Median
Stock Price % Change
EV/EBITDA % Change
3 Month
3 Month
1 Year
1 Year
Current Valuation Stats Fwd PE
LTM PE
Net Debt /
EV/EBITDA
EBITDA
(2.0%) 1.2% 0.6% (15.8%) 8.7% 5.6% (14.8%) 6.7% (1.2%) 5.3% 1.7% 3.3% (3.2%) (0.6%) (5.1%) (10.8%) (10.3%) 1.6% (7.8%) (22.4%) (9.3%) (15.7%) (4.0%)
17.8% 18.7% 24.7% (16.7%) 22.5% (0.6%) (7.7%) 18.8% 7.5% 27.4% 14.7% 20.9% (0.3%) 10.6% (9.7%) 12.7% 1.6% 21.1% 15.5% 8.0% 60.6% 6.6% 38.8%
2.7% (7.6%) (2.5%) 2.8% 5.2% (16.1%) (9.2%) 15.5% (19.0%) 3.4% (5.9%) 1.4% (11.3%) (6.8%) 13.0% (9.9%) (16.6%) (1.3%) (11.0%) (15.3%) (15.0%) (22.7%) (12.9%)
7.0% (1.3%) 8.1% (20.5%) 17.4% (2.7%) (7.8%) 24.2% (11.3%) 23.5% 8.0% 12.0% (11.6%) 7.4% 8.0% 4.8% (24.6%) (13.1%) (9.3%) (8.5%) 8.8% (8.6%) 18.0%
11.5x 16.2x 20.2x 12.5x 21.3x 33.0x 25.7x 24.8x 20.1x 20.5x 21.7x 25.2x 18.9x 18.4x 20.8x 21.9x 38.7x 29.4x 19.9x 16.4x 27.4x 33.3x 24.1x
13.0x 20.5x 26.5x 14.2x 30.9x 35.2x 54.8x 36.3x 24.7x 23.7x 24.2x 30.9x 17.2x 20.3x 31.2x 28.4x 30.4x 39.1x 29.1x 19.1x 36.8x 31.3x 21.2x
8.3x 10.9x 14.2x 8.6x 13.8x 12.4x 19.8x 14.8x 9.7x 13.0x 12.6x 14.4x 8.9x 6.8x 11.3x 12.3x 12.2x 11.4x 9.1x 9.9x 17.3x 18.8x 10.9x
5.6x 1.0x 1.7x 1.8x 2.6x 5.5x 3.7x 4.4x 2.0x 1.8x 2.9x 2.2x 2.0x 2.0x 6.5x 2.5x 0.7x 2.0x 2.1x 2.8x 3.7x 2.9x 2.4x
(2.2%)
13.5%
(6.9%)
5.4%
21.3x
26.1x
12.2x
2.2x
PAGE | 3
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC EQUITY MARKET OVERVIEW PUBLIC COMPANY SECTOR PERFORMANCE (ONE YEAR CHANGE IN STOCK PRICE)5 Pizza Branded Processed Foods Differentiated Casual Snacks Ingredients / Flav ors Family Restaurant Fruit and Vegetable Casual Dining Restaurant Protein Processing Quick Serv ice Restaurant S&P Food Retail Non-Alcoholic Bev erages Fine Dining Bev erage / Snack Retail Alcoholic Bev erages Baked Goods Fast Casual Grocery Distribution Priv ate Label Dairy Natural / Organic / BFY Foodserv ice Agribusiness (30.0%)
(15.0%)
0.0%
Inputs
15.0%
30.0% Food and Beverage
60.0% 45.0% Consumer and Retail
75.0%
90.0%
RECENT EQUITY OFFERINGS6
Close Date 10/06/15
Filing Date 10/06/15
10/01/15
Gross Proceeds ($mm) Use of Funds $1.6 General Corp. Purp. Reduce Indebtedness $275.5 General Corp. Purp.
Issuer Spot Coffee (Canada) Ltd
Ticker SPP
Transaction Type Follow-On
09/09/15
Performance Food Group Co
PFGC
IPO
09/24/15
09/15/15
SunOpta Inc
STKL
Follow-On
$100.0
09/21/15
09/21/15
The JM Smucker Co
SJM
Follow-On
$964.9
08/17/15
08/17/15
Aramark
ARMK
Follow-On
$729.1
08/12/15
03/10/14
Post Holdings Inc
POST
Follow-On
$351.0
08/12/15
07/20/15
Shake Shack Inc
SHAK
Follow-On
$240.0
08/07/15
06/26/15
Captiva Verde Industries Ltd
VEG
Follow-On
$2.5
08/04/15
06/26/15
Amplify Snack Brands Inc
BETR
IPO
$270.0
Liquidity for Private Owners
07/09/15
07/09/15
The JM Smucker Co
SJM
Follow-On
$533.8
Secondary
07/06/15
07/06/15
Ten Peaks Coffee Co Inc
TPK
Follow-On
$13.9
07/02/15
07/02/15
Del Taco Restaurants Inc
TACO
Follow-On
$548.5
07/01/15
06/26/15
Captiva Verde Industries Ltd
VEG
Follow-On
$0.1
Acquisition Fin. Reduce Indebtedness Secondary Secondary Pay Fees & Expenses Reduce Indebtedness Secondary Pay Fees & Expenses General Corp. Purp.
Construction Working Capital Secondary General Corp. Purp.
PAGE | 4
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC COMPARABLES5 Price at ($ in millions, except per share data) Food and Beverage Branded Processed Foods Associated British Foods plc B&G Foods Inc. Campbell Soup Company ConAgra Foods, Inc. General Mills, Inc. Hormel Foods Corporation Kellogg Company McCormick & Company, Incorporated Nestlé S.A. Post Holdings, Inc. The Hershey Company The J. M. Smucker Company
Private Label Foods and Beverages Cott Corporation Seneca Foods Corp. Treehouse Foods, Inc.
Ticker
ABF BGS CPB CAG GIS HRL K MKC NESN POST HSY SJM
TSX:BCB SENE.A THS
As a % of
10/9/15 52-wk High
$51.19 36.91 51.28 41.76 56.61 65.42 69.44 83.02 77.31 60.49 96.56 118.09
$10.70 27.95 84.08
96.8% 97.7% 97.9% 91.8% 94.6% 99.6% 99.2% 97.3% 96.5% 84.9% 86.7% 97.9%
88.6% 88.4% 90.5%
Market Cap
$40,271 2,140 15,885 18,078 33,835 17,305 24,553 10,631 246,526 3,672 21,184 14,131
$1,173 286 3,621
Cash & Debt
$1,675 984 4,103 7,870 9,434 600 7,507 1,492 24,371 4,610 2,414 5,997
$1,752 238 1,346
Equiv.
$437 99 253 114 451 349 294 112 5,052 274 402 134
$79 8 54
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$41,508 3,026 19,735 25,834 42,818 17,556 31,766 12,011 265,845 8,007 23,196 19,995
$2,846 516 4,913
Revenue
$20,062 858 8,082 15,863 17,570 9,407 14,207 4,268 97,991 4,382 7,488 6,321
$2,568 1,273 3,242
EBITDA
BETR BDBD TSX:SOY HAIN WWAV
$12.15 9.13 5.26 54.12 43.82
70.6% 70.9% 42.0% 76.6% 83.8%
$911 561 449 5,553 7,702
$216 299 158 844 1,582
$13 31 4 167 27
$1,115 829 603 6,230 9,256
$163 509 1,203 2,689 3,603
SWX:ARYN FLO WN BIMBO A LANC
$48.29 26.03 82.30 2.70 101.62
56.2% 99.1% 93.2% 98.9% 99.3%
$4,286 5,471 10,535 12,679 2,780
$2,266 693 11,088 4,244 0
$350 47 2,206 209 182
$6,202 6,118 19,417 16,714 2,598
$4,221 3,757 38,228 12,972 1,105
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
(9.2%) 8.0% (2.2%) 6.5% (1.3%) 3.4% (3.0%) 0.7% (3.6%) NM 3.1% 13.2%
2.9% 13.4% 4.0% 5.4% 1.4% 4.8% 2.4% 2.4% 2.7% 66.5% 5.7% 3.5%
24.0% 29.6% 34.7% 21.8% 35.1% 18.6% 34.2% 40.4% 49.0% 25.0% 45.2% 36.0%
12.0% 21.5% 18.9% 13.9% 19.6% 12.5% 11.6% 16.1% 19.0% 13.7% 22.2% 20.4%
46.8x 44.6x 23.2x NM 26.8x 26.4x 65.9x 26.9x 16.5x NM 37.6x 35.0x
2.07x 3.53x 2.44x 1.63x 2.44x 1.87x 2.24x 2.81x 2.71x 1.83x 3.10x 3.16x
17.3x 16.4x 12.9x 11.7x 12.4x 14.9x 19.4x 17.5x 14.2x 13.4x 13.9x 15.5x
2.02x 2.57x 2.43x 2.17x 2.51x 1.82x 2.32x 2.72x 2.76x 1.52x 3.03x 2.50x
17.6x 11.9x 12.4x 13.4x 12.5x 14.0x 12.6x 15.7x 14.5x 10.3x 13.1x 11.8x
Mean Median
1.4% 0.7%
9.6% 3.8%
32.8% 34.4%
16.8% 17.5%
35.0x 30.9x
2.49x 2.44x
15.0x 14.6x
2.36x 2.47x
13.3x 12.8x
25.3% (5.6%) 31.0%
3.6% 1.1% 15.3%
22.7% 6.8% 20.1%
10.3% 3.3% 11.4%
64.4x 23.1x 35.2x
1.11x 0.41x 1.52x
10.8x 12.4x 13.3x
0.94x NA 1.48x
7.8x NA 12.3x
16.9% 25.3%
6.7% 3.6%
16.6% 20.1%
8.3% 10.3%
40.9x 35.2x
1.01x 1.11x
12.2x 12.4x
1.21x 1.21x
10.0x 10.0x
NA 2.2% 0.6% 24.8% 20.7%
NA 17.9% 4.9% 24.9% 18.6%
56.0% 36.5% 10.9% 23.0% 34.1%
32.7% 9.0% 4.6% 11.7% 11.5%
NM NM 104.8x 33.4x 54.8x
6.85x 1.63x 0.50x 2.32x 2.57x
20.9x 18.0x 10.8x 19.8x 22.3x
5.43x 1.58x 0.43x 2.06x 2.26x
14.7x 11.4x 6.9x 14.6x 16.9x
12.1% 11.4%
16.6% 18.3%
32.1% 34.1%
13.9% 11.5%
64.3x 54.8x
18.4x 19.8x
2.35x 2.06x
12.9x 14.6x
$385 440 2,513 1,480 176
(34.9%) 0.7% 13.8% (5.4%) 6.1%
(7.7%) 8.9% 6.3% 3.3% 3.8%
18.4% 48.4% 26.6% 53.0% 23.3%
9.1% 11.7% 6.6% 11.4% 15.9%
NM 29.9x 35.4x 50.4x 27.3x
16.1x 13.9x 7.7x 11.3x 14.8x
1.37x 1.56x 0.53x 1.24x 2.21x
8.2x 12.5x 6.1x 11.3x 13.6x
Mean Median
(3.9%) 0.7%
2.9% 3.8%
33.9% 26.6%
10.9% 11.4%
35.7x 32.6x
12.8x 13.9x
1.38x 1.37x
10.3x 11.3x
$264 41 369
$53 46 56 314 415 Mean Median
Baked Goods ARYZTA AG Flowers Foods, Inc. George Weston Limited Grupo Bimbo, S.A.B. de C.V. Lancaster Colony Corporation
LTM Margins Gross
$2,399 184 1,528 2,205 3,446 1,177 1,641 687 18,659 599 1,664 1,288
Mean Median Natural / Organic Foods / Better-For-You Amplify Snack Brands, Inc. Boulder Brands, Inc. SunOpta Inc. The Hain Celestial Group, Inc. The WhiteWave Foods Company
3 Years
2.77x 2.32x 1.47x 1.63x 0.51x 1.29x 2.35x 1.45x 1.47x
PAGE | 5
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC COMPARABLES5 Price at ($ in millions, except per share data) Dairy Danone Dean Foods Company Emmi AG Glanbia plc Lifeway Foods Inc. Parmalat SpA Saputo Inc. Savencia SA
Non-Alcoholic Beverages A.G.Barr p.l.c. Cott Corporation Dr Pepper Snapple Group, Inc. Keurig Green Mountain, Inc. Lassonde Industries Inc. Monster Beverage Corporation National Beverage Corp. Pepsico, Inc. The Coca-Cola Company
Alcoholic Beverages Anheuser-Busch InBev SA/NV Brown-Forman Corporation Carlsberg A/S Constellation Brands Inc. Diageo plc Heineken NV Kirin Holdings Company, Limited Pernod-Ricard SA SABMiller plc Sapporo Holdings Ltd.
Snacks Diamond Foods, Inc. Golden Enterprises Inc. Inventure Foods, Inc. J&J Snack Foods Corp. John B Sanfilippo & Son Inc. Mondelez International, Inc. Pepsico, Inc. Snyder's-Lance, Inc.
Ticker
BN DF SWX:EMMN GL9 LWAY BIT:PLT TSX:SAP ENXTPA:SAVE
LSE:BAG BCB DPS GMCR LAS.A MNST FIZZ PEP KO
ENXTBR:ABI BF.B CPSE:CARL B STZ DGE ENXTAM:HEIA TSE:2503 RI LSE:SAB TSE:2501
DMND GLDC SNAK JJSF JBSS MDLZ PEP LNCE
As a % of
10/9/15 52-wk High
$65.88 17.91 460.97 18.59 12.20 2.67 24.12 63.66
$8.00 10.70 83.70 57.55 122.13 137.43 33.97 99.47 42.02
$111.75 105.70 80.91 136.89 28.04 83.27 13.75 110.24 56.17 3.92
$32.03 3.97 9.56 120.83 51.70 45.00 99.47 36.18
85.5% 90.7% 99.0% 83.4% 54.5% 92.6% 98.9% 86.4%
74.7% 88.6% 99.4% 36.2% 99.4% 88.2% 98.6% 98.7% 93.4%
Market Cap
$40,386 1,691 2,466 5,489 199 4,906 9,458 893
$925 1,173 15,977 8,866 853 28,242 1,576 144,913 182,787
82.2% $179,447 95.2% 22,681 81.4% 12,466 99.4% 26,898 89.1% 70,497 94.5% 47,849 86.4% 12,547 82.4% 29,133 94.4% 90,442 85.5% 1,529
93.8% 83.7% 67.8% 99.1% 90.3% 92.6% 98.7% 99.5%
$1,009 45 187 2,259 576 72,509 144,913 2,557
Cash & Debt
$13,529 839 609 745 8 386 1,498 980
$47 1,752 2,607 415 301 0 5 32,191 44,553
$51,504 1,492 6,106 7,441 15,883 13,029 6,429 10,593 12,550 2,023
$650 8 92 2 98 19,378 32,191 443
Equiv.
$4,179 106 308 105 9 1,200 141 507
$16 79 150 80 0 2,931 66 10,679 20,953
$6,784 494 422 333 742 946 227 607 1,027 88
$13 1 1 127 2 2,028 10,679 43
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$49,736 2,425 2,767 6,130 199 4,091 10,815 1,366
$955 2,846 18,434 9,201 1,154 25,311 1,515 166,425 206,387
$224,167 23,679 18,150 34,006 85,637 59,932 18,750 39,119 101,965 3,464
$1,646 51 279 2,134 672 89,859 166,425 2,958
Revenue
$24,583 8,834 3,569 2,970 120 6,588 8,497 5,072
$397 2,568 6,198 4,679 1,091 2,562 657 64,419 45,715
$45,762 3,128 9,684 6,263 17,004 22,599 18,370 9,533 16,534 4,362
$864 131 290 970 887 32,590 64,419 1,682
EBITDA
3 Years
LTM Margins Gross
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
$3,969 314 317 295 7 466 843 299
(13.3%) (4.3%) (5.7%) (10.4%) 10.1% (10.8%) (6.4%) (17.2%)
(1.1%) (3.6%) 7.1% 7.2% 17.2% 3.9% 7.4% (0.6%)
49.0% 20.7% 33.8% 29.6% 27.1% 18.5% 9.9% 33.4%
16.1% 3.6% 8.9% 9.9% 5.5% 7.1% 9.9% 5.9%
37.6x NM 20.6x 30.1x NM 28.7x 20.7x 15.5x
2.02x 0.27x 0.78x 2.06x 1.66x 0.62x 1.27x 0.27x
12.5x 7.7x 8.7x 20.8x 30.2x 8.8x 12.8x 4.6x
1.91x 0.30x 0.81x 1.87x 1.32x 0.56x 1.27x 0.26x
11.4x 6.4x 8.9x 16.6x 9.0x 7.4x 12.2x 4.2x
Mean Median
(7.3%) (8.4%)
4.7% 5.5%
27.7% 28.3%
8.4% 8.0%
25.5x 24.7x
1.12x 1.02x
13.3x 10.7x
1.04x 1.04x
9.5x 9.0x
$75 264 1,422 1,115 117 852 89 12,097 12,700
(10.5%) 25.3% 2.7% 2.6% 10.1% 8.8% 2.0% (3.6%) (1.1%)
4.6% 3.6% 1.2% 8.9% 4.7% 9.9% 0.7% (0.7%) (1.3%)
48.2% 22.7% 58.9% 36.8% 28.1% 56.1% 33.8% 54.4% 61.0%
18.9% 10.3% 22.9% 23.8% 10.7% 33.3% 13.6% 18.8% 27.8%
19.8x NM 22.8x 17.0x 22.6x 50.5x 31.2x 29.5x 24.6x
2.41x 1.11x 2.97x 1.97x 1.06x 9.88x 2.31x 2.58x 4.51x
12.8x 10.8x 13.0x 8.2x 9.9x 29.7x 16.9x 13.8x 16.3x
2.39x 0.94x 2.93x 2.02x NA 8.44x NA 2.64x 4.59x
12.3x 7.8x 12.0x 8.8x NA 23.7x NA 12.9x 16.5x
Mean Median
4.0% 2.6%
3.5% 3.6%
44.5% 48.2%
20.0% 18.9%
27.3x 23.7x
3.20x 2.41x
14.6x 13.0x
3.42x 2.64x
13.4x 12.3x
$17,597 1,097 1,871 1,953 5,284 4,797 2,163 2,710 5,435 337
(1.0%) 3.9% (18.4%) 6.8% (3.1%) (13.7%) (16.0%) (12.4%) (1.0%) (14.8%)
5.2% 4.4% (4.1%) 33.0% 1.7% 4.3% 7.3% (4.0%) (0.2%) 2.8%
60.2% 69.7% 49.1% 44.9% 57.6% 38.8% 43.3% 61.9% 70.3% 34.2%
38.5% 35.1% 19.3% 31.2% 31.1% 21.2% 11.8% 28.4% 32.9% 7.7%
18.9x 32.4x 21.6x 28.3x 19.4x 20.8x 29.3x 29.9x 26.8x 14.8x
4.90x 7.57x 1.87x 5.43x 5.04x 2.65x 1.02x 4.10x 6.17x 0.79x
12.7x 21.6x 9.7x 17.4x 16.2x 12.5x 8.7x 14.4x 18.8x 10.3x
4.91x 5.61x 1.80x 5.09x 5.22x 2.56x 1.01x 3.91x 6.73x 0.77x
12.5x 20.5x 8.7x 15.7x 15.8x 10.8x 8.5x 13.5x 17.0x 9.6x
Mean Median
(7.0%) (7.7%)
5.0% 3.5%
53.0% 53.3%
25.7% 29.8%
24.2x 24.2x
3.95x 4.50x
14.2x 13.6x
3.76x 4.41x
13.3x 13.0x
$108 7 19 149 65 5,070 12,097 186
(0.1%) (2.6%) 14.9% 7.3% 14.0% (7.0%) (3.6%) 9.2%
(4.2%) (1.5%) 17.9% 6.3% 8.2% 7.1% (0.7%) 1.1%
26.4% 50.0% 16.8% 31.0% 14.9% 37.7% 54.4% 35.2%
12.5% 5.7% 6.6% 15.3% 7.3% 15.6% 18.8% 11.0%
30.9x 24.5x NM 31.3x 19.8x 35.5x 29.5x 37.3x
1.91x 0.39x 0.96x 2.20x 0.76x 2.76x 2.58x 1.76x
15.3x 6.9x 14.5x 14.3x 10.3x 17.7x 13.8x 15.9x
1.88x NA 0.90x 2.10x 0.72x 3.12x 2.64x 1.70x
12.2x NA 12.6x 13.4x NA 17.0x 12.9x 13.8x
Mean Median
4.0% 3.6%
4.3% 3.7%
33.3% 33.1%
11.6% 11.7%
29.8x 30.9x
1.66x 1.83x
13.6x 14.4x
1.87x 1.88x
13.7x 13.2x
PAGE | 6
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC COMPARABLES5 Price at ($ in millions, except per share data) Inputs Protein Processing Cal-Maine Foods, Inc. JBS S.A. Sanderson Farms, Inc. Seaboard Corp. Tyson Foods, Inc.
Ticker
CALM BOVESPA:JBSS3 SAFM SEB TSN
As a % of
Market
10/9/15 52-wk High
Cap
$55.70 4.01 69.54 3,179.00 46.33
$2,701 11,445 1,559 3,721 18,815
91.7% 85.4% 72.7% 68.5% 99.0%
Cash & Debt
$43 15,670 10 109 7,234
Equiv.
$356 4,472 181 708 473
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$2,388 22,643 1,388 3,122 25,576
Revenue
$1,829 44,312 2,885 6,179 40,972
EBITDA
$457 4,013 507 376 2,769
Ingredients / Flavors Givaudan SA Ingredion Incorporated International Flavors & Fragrances Inc. Kerry Group plc Sensient Technologies Corporation Symrise AG Tate & Lyle plc
Agribusiness Archer-Daniels-Midland Company Bunge Limited CF Industries Holdings, Inc. Darling Ingredients Inc. Monsanto Company The Andersons, Inc. The Mosaic Company
Consumer and Retail Grocery Distribution AMCON Distributing Co. Core-Mark Holding Company, Inc. Performance Food Group Company SpartanNash Company SUPERVALU Inc. United Natural Foods, Inc.
CVGW FDP SENE.A ISE:T7O
SWX:GIVN INGR IFF ISE:KRZ SXT XTRA:SY1 TATE
ADM BG CF DAR MON ANDE MOS
DIT CORE PFGC SPTN SVU UNFI
$47.44 41.58 27.95 1.48
$1,763.75 $90.61 109.53 76.06 65.88 64.64 8.85
$45.42 77.12 50.78 11.45 89.70 38.49 33.93
$82.00 77.60 21.71 27.37 7.58 55.42
76.4% 98.8% 88.4% 98.2%
87.0% 96.5% 89.0% 93.1% 93.4% 88.2% 84.7%
84.3% 82.8% 72.2% 59.0% 71.2% 59.9% 63.0%
92.8% 97.1% 96.2% 80.8% 63.2% 66.0%
$825 2,182 286 460
$16,247 6,467 8,827 13,378 3,019 8,391 4,128
$27,658 11,093 11,834 1,892 41,965 1,070 12,023
$51 1,789 2,164 1,027 2,008 2,777
$40 209 238 204
$1,352 2,212 998 1,786 574 1,655 1,141
$6,923 4,846 4,593 2,045 9,044 586 3,846
$18 149 1,450 538 2,712 549
$6 34 8 110
$307 677 379 198 22 216 400
$1,176 792 810 126 3,636 41 2,210
$0 15 9 13 137 17
$859 2,356 516 554
$17,293 8,002 9,445 14,966 3,571 9,831 4,870
$33,405 15,147 15,617 3,811 47,373 1,615 13,659
$68 1,923 3,604 1,551 4,583 3,309
$850 3,956 1,273 3,091
$4,696 5,607 3,072 6,562 1,400 2,795 3,500
$73,703 48,495 4,403 3,713 15,001 4,383 9,256
$883 8,483 15,270 7,881 17,963 8,185
LTM Margins Gross
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
23.7% (8.5%) 5.2% (6.1%) 12.7%
17.0% 10.3% 7.9% 1.8% 7.3%
31.6% 15.7% 20.4% 8.9% 9.1%
25.0% 9.1% 17.6% 6.1% 6.8%
9.8x 13.6x 5.6x 13.0x 17.3x
1.31x 0.51x 0.48x 0.51x 0.62x
5.2x 5.6x 2.7x 8.3x 9.2x
1.03x 0.43x 0.48x NA 0.63x
2.8x 4.9x 4.1x NA 8.0x
5.4% 5.2%
8.9% 7.9%
17.1% 15.7%
12.9% 9.1%
11.8x 13.0x
0.69x 0.51x
6.2x 5.6x
0.64x 0.55x
5.0x 4.5x
$54 252 41 68
10.0% 2.6% (5.6%) (12.7%)
15.1% 4.9% 1.1% 2.2%
10.1% 8.9% 6.8% 13.9%
6.4% 6.4% 3.3% 2.2%
38.8x 18.0x 23.1x 14.9x
1.01x 0.60x 0.41x 0.18x
15.8x 9.3x 12.4x 8.1x
0.91x 0.58x NA 0.17x
13.8x 9.2x NA 7.7x
Mean Median
(1.4%) (1.5%)
5.8% 3.5%
9.9% 9.5%
4.6% 4.8%
23.7x 20.5x
0.55x 0.50x
11.4x 10.9x
0.56x 0.58x
10.2x 9.2x
$980 849 664 839 264 590 410
(3.9%) (5.8%) 1.5% (17.1%) (4.2%) 11.1% (31.2%)
3.3% (4.2%) 3.3% (2.4%) (0.9%) 10.3% (8.4%)
46.0% 21.0% 44.4% 45.8% 33.8% 42.4% 38.6%
20.9% 15.1% 21.6% 12.8% 18.8% 21.1% 11.7%
26.5x 17.9x 20.7x 22.5x 28.7x 34.0x 89.4x
3.68x 1.43x 3.07x 2.28x 2.55x 3.52x 1.39x
17.6x 9.4x 14.2x 17.8x 13.5x 16.7x 11.9x
3.75x 1.36x 3.00x 2.17x 2.55x 3.21x 1.25x
15.6x 8.8x 13.0x 15.8x 12.9x 14.3x 9.7x
Mean Median
(7.1%) (4.2%)
0.1% (0.9%)
38.8% 42.4%
17.4% 18.8%
34.3x 26.5x
2.56x 2.55x
14.5x 14.2x
2.47x 2.55x
12.9x 13.0x
$3,785 1,770 2,053 441 4,732 129 2,404
(16.0%) (20.9%) (12.4%) 27.6% (5.4%) (13.7%) 20.7%
(6.1%) (5.1%) (11.7%) 29.5% 3.6% (2.2%) (6.0%)
6.8% 5.7% 42.0% 21.6% 55.2% 8.9% 22.0%
5.1% 3.6% 46.6% 11.9% 31.5% 3.0% 26.0%
12.5x 22.1x 13.0x 21.7x 18.9x 14.2x 10.0x
0.45x 0.31x 3.55x 1.03x 3.16x 0.37x 1.48x
8.8x 8.6x 7.6x 8.6x 10.0x 12.5x 5.7x
0.44x 0.30x 3.26x 1.10x 3.25x 0.37x 1.43x
9.0x 7.2x 6.6x 8.3x 10.8x 7.8x 5.8x
Mean Median
(2.9%) (12.4%)
0.3% (5.1%)
23.2% 21.6%
18.2% 11.9%
16.1x 14.2x
1.48x 1.03x
8.8x 8.6x
1.45x 1.10x
7.9x 7.8x
$14 112 281 223 793 307
5.8% 6.8% 32.7% 27.6% 4.6% 20.5%
3.0% 8.0% NA 44.1% 16.1% 16.1%
8.7% 7.1% 12.1% 14.5% 15.0% 15.4%
1.5% 1.3% 1.8% 2.8% 4.4% 3.7%
9.7x 38.4x 33.9x 17.2x 15.1x 20.1x
0.08x 0.23x 0.24x 0.20x 0.26x 0.40x
5.1x 17.2x 12.8x 7.0x 5.8x 10.8x
NA 0.16x 0.22x 0.20x 0.25x 0.39x
NA 13.4x 11.3x 6.4x 5.7x 10.1x
Mean Median
16.3% 13.6%
17.5% 16.1%
12.1% 13.3%
2.6% 2.3%
22.4x 18.6x
0.23x 0.23x
9.8x 8.9x
0.24x 0.22x
9.4x 10.1x
Mean Median Fruit and Vegetable Calavo Growers Inc. Fresh Del Monte Produce Inc. Seneca Foods Corp. Total Produce plc
3 Years
PAGE | 7
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC COMPARABLES5 Price at ($ in millions, except per share data)
Ticker
Food Retail Costco Wholesale Corporation Establishments Delhaize Freres Fairway Group Holdings Corp. Ingles Markets, Incorporated J Sainsbury plc Koninklijke Ahold N.V. Natural Grocers by Vitamin Cottage Roundy's, Inc. Sprouts Farmers Market, Inc. SUPERVALU Inc. Tesco PLC The Kroger Co. Village Super Market Inc. Weis Markets, Inc. Whole Foods Market, Inc.
COST DELB FWM IMKT.A LSE:SBRY ENXTAM:AH NGVC RNDY SFM SVU LSE:TSCO KR VLGE.A WMK WFM
Foodservice Colabor Group Inc. Sysco Corporation The Chefs' Warehouse, Inc.
TSX:GCL SYY CHEF
As a % of
10/9/15 52-wk High
$153.97 93.82 1.50 48.70 4.22 20.71 24.93 2.74 23.54 7.58 3.14 38.03 25.29 43.07 34.24
$0.87 40.93 14.75
98.2% 91.7% 19.2% 87.0% 95.6% 91.6% 71.2% 44.8% 61.2% 63.2% 81.1% 96.4% 73.1% 83.0% 59.5%
28.7% 97.8% 61.2%
Market Cap
$67,431 9,658 66 987 8,096 16,939 561 135 3,615 2,008 25,518 37,020 358 1,159 12,222
$24 24,399 388
Cash & Debt
$6,147 2,827 257 918 4,246 3,744 28 647 289 2,712 19,374 11,270 45 0 63
$145 7,322 313
Equiv.
$6,419 1,679 32 9 1,956 2,187 3 40 97 137 2,973 268 59 104 691
$0 5,130 2
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$67,159 10,807 291 1,896 10,386 18,496 585 743 3,807 4,583 41,919 48,022 345 1,055 11,594
$169 26,590 698
Revenue
$116,199 25,724 793 3,791 35,064 39,568 598 4,030 3,261 17,963 93,911 108,784 1,584 2,828 15,207
$1,128 48,681 918
EBITDA
Fast Casual Chipotle Mexican Grill, Inc. El Pollo Loco Holdings, Inc. Fiesta Restaurant Group, Inc. The Habit Restaurants, Inc. Noodles & Company Panera Bread Company Potbelly Corporation Shake Shack Inc. Zoe's Kitchen, Inc.
BOJA JACK MCD PLKI QSR SONC WEN YUM
CMG LOCO FRGI HABT NDLS PNRA PBPB SHAK ZOES
$16.46 77.41 102.76 56.89 36.32 25.39 9.28 70.25
$732.93 13.00 43.34 23.10 13.77 191.92 11.65 44.05 38.27
57.9% 77.4% 99.3% 85.6% 79.5% 69.1% 79.2% 73.3%
96.6% 33.6% 62.8% 52.3% 49.1% 92.3% 70.0% 45.5% 82.1%
$592 2,831 96,780 1,303 7,352 1,318 2,527 30,292
$22,825 497 1,150 318 391 5,215 352 670 742
$244 659 17,902 110 8,860 466 2,397 3,217
$0 136 74 2 30 100 0 0 27
$13 18 3,999 10 689 23 1,198 861
$879 6 6 52 2 125 54 65 24
$823 3,472 110,684 1,403 15,522 1,762 3,727 32,648
$21,946 627 1,218 268 419 5,190 298 606 745
$463 1,531 26,016 251 2,669 595 1,988 13,151
$4,441 356 647 207 436 2,618 351 153 201
LTM Margins Gross
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
$4,659 1,483 11 240 1,832 2,422 49 121 273 793 1,027 5,537 67 155 1,414
3.2% (8.1%) 0.7% (0.8%) (11.9%) (9.2%) 19.6% 15.3% 20.4% 4.6% (3.5%) 4.6% 4.3% 3.7% 9.3%
5.4% (1.5%) 12.6% 1.5% (0.2%) 0.8% 23.6% 1.3% 43.4% 16.1% (2.2%) 5.4% 3.7% 0.9% 10.9%
13.0% 24.2% 31.4% 23.4% 6.4% 26.8% 29.1% 26.3% 29.4% 15.0% 2.3% 22.3% 27.3% 27.3% 35.4%
4.0% 5.8% 1.3% 6.3% 5.2% 6.1% 8.2% 3.0% 8.4% 4.4% 1.1% 5.1% 4.2% 5.5% 9.3%
28.7x 30.2x NM 16.6x NM 19.2x 34.1x NM 32.7x 15.1x NM 19.6x 11.7x 20.3x 20.5x
0.58x 0.42x 0.37x 0.50x 0.30x 0.47x 0.98x 0.18x 1.17x 0.26x 0.45x 0.44x 0.22x 0.37x 0.76x
14.4x 7.3x NM 7.9x 5.7x 7.6x 12.0x 6.1x 13.9x 5.8x NM 8.7x 5.2x 6.8x 8.2x
0.54x 0.39x 0.37x 0.49x 0.29x 0.43x 0.82x 0.18x 0.99x 0.25x 0.49x 0.42x NA NA 0.71x
13.2x 6.1x 7.2x 7.7x 5.6x 6.8x 10.4x 6.2x 11.9x 5.7x 10.9x 8.4x NA NA 7.8x
Mean Median
3.5% 3.7%
8.1% 3.7%
22.6% 26.3%
5.2% 5.2%
22.6x 20.3x
0.50x 0.44x
8.4x 7.6x
0.49x 0.43x
8.3x 7.7x
(14.0%) 4.7% 20.1%
(8.4%) 4.7% 28.7%
1.8% 17.6% 25.0%
1.8% 4.8% 5.2%
NM 35.6x 26.9x
0.15x 0.55x 0.76x
8.5x 11.3x 14.7x
0.14x 0.52x 0.63x
7.3x 10.6x 10.1x
3.6% 4.7%
8.3% 4.7%
14.8% 17.6%
3.9% 4.8%
31.2x 31.2x
0.49x 0.55x
11.5x 11.3x
0.43x 0.52x
9.3x 10.1x
23.4% 3.6% (8.1%) 13.2% 156.0% 8.6% (11.6%) (2.3%)
NA 10.5% (1.8%) 15.2% 5.1% 3.0% (6.9%) (1.1%)
22.3% 27.7% 37.8% 64.9% 48.0% 54.4% 33.5% 26.2%
13.8% 18.7% 34.7% 32.5% 31.0% 26.6% 18.8% 20.3%
25.0x 28.4x 23.9x 31.5x NM 24.3x 37.2x 33.6x
1.78x 2.27x 4.25x 5.60x NM 2.96x 1.87x 2.48x
12.9x 12.1x 12.3x 17.2x NM 11.1x 10.0x 12.3x
1.61x 2.18x 4.51x 5.01x 3.79x 2.83x 2.53x 2.39x
10.9x 11.0x 12.5x 15.5x 9.2x 10.3x 9.6x 10.9x
Mean Median
22.9% 6.1%
3.4% 3.0%
39.4% 35.7%
24.5% 23.4%
29.1x 28.4x
3.03x 2.48x
12.6x 12.3x
3.11x 2.68x
11.2x 10.9x
$951 62 93 22 46 390 34 16 16
22.5% 9.9% 17.3% 17.3% 17.3% 17.3% 17.3% 17.3% 37.7%
20.8% 20.0% 36.0% 36.0% 36.0% 36.0% 36.0% 36.0% NA
38.3% 25.8% 25.9% 22.0% 19.2% 33.0% 30.4% 38.5% 20.7%
21.4% 17.4% 14.3% 10.6% 10.5% 14.9% 9.6% 10.4% 8.1%
44.9x 11.2x 29.1x NM NM 31.6x NM NM NM
4.94x 1.76x 1.88x 1.30x 0.96x 1.98x 0.85x 3.96x 3.70x
23.1x 10.1x 13.1x 12.2x 9.1x 13.3x 8.8x NM NM
4.33x 1.61x 1.64x 1.04x 0.85x 1.91x 0.75x 2.94x 2.99x
19.7x 9.2x 10.8x 9.4x 9.2x 12.8x 8.1x 18.8x 37.0x
Mean Median
19.3% 17.3%
32.1% 36.0%
28.2% 25.9%
13.0% 10.6%
29.2x 30.4x
2.37x 1.88x
12.8x 12.2x
2.01x 1.64x
15.0x 10.8x
$20 2,345 47 Mean Median
Quick Service Restaurant Bojangles', Inc. Jack in the Box Inc. McDonald's Corp. Popeyes Louisiana Kitchen, Inc. Restaurant Brands International Inc. Sonic Corp. The Wendy's Company Yum! Brands, Inc.
3 Years
$64 286 9,032 81 827 158 374 2,665
PAGE | 8
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC COMPARABLES5 Price at ($ in millions, except per share data) Differentiated Casual BJ's Restaurants, Inc. Buffalo Wild Wings Inc. Chuy's Holdings, Inc. Dave & Buster's Entertainment, Inc. Ignite Restaurant Group, Inc. The Cheesecake Factory Incorporated Wingstop Inc.
Casual Dining Restaurant Bloomin' Brands, Inc. Brinker International, Inc. Darden Restaurants, Inc. DineEquity, Inc. Red Robin Gourmet Burgers Inc. Ruby Tuesday, Inc. Texas Roadhouse, Inc.
Fine Dining Del Frisco's Restaurant Group, Inc. Fogo de Chao, Inc. Ruth's Hospitality Group Inc.
Pizza Domino's Pizza, Inc. Papa John's International Inc. Papa Murphy's Holdings, Inc.
Beverage / Snack Retail DAVIDsTEA Inc. Dunkin' Brands Group, Inc. Jamba, Inc. Krispy Kreme Doughnuts, Inc. Starbucks Corporation
Family Restaurant Bob Evans Farms, Inc. Cracker Barrel Old Country Store, Inc. Denny's Corporation Luby's, Inc.
Ticker
BJRI BWLD CHUY PLAY IRG CAKE WING
BLMN EAT DRI DIN RRGB RT TXRH
DFRG FOGO RUTH
DPZ PZZA FRSH
DTEA DNKN JMBA KKD SBUX
BOBE CBRL DENN LUB
As a % of
10/9/15 52-wk High
$42.38 196.14 33.15 39.84 4.85 54.59 28.70
$18.45 51.69 66.68 91.64 79.28 5.80 38.06
$14.17 15.87 16.00
$105.38 68.30 14.81
$16.19 42.05 14.72 14.41 60.07
$43.77 144.26 11.19 4.79
76.4% 95.3% 92.7% 91.9% 58.2% 92.7% 80.6%
70.3% 81.5% 88.2% 80.2% 83.5% 67.7% 93.2%
54.6% 58.4% 89.8%
88.0% 86.0% 65.2%
54.0% 74.0% 87.2% 64.6% 99.9%
72.8% 88.9% 87.4% 80.8%
Market Cap
$1,085 3,729 546 1,651 127 2,580 820
$2,263 3,107 8,544 1,729 1,123 355 2,667
$332 443 563
$5,759 2,695 251
$388 4,005 238 907 89,156
$979 3,466 932 137
Cash & Debt
$75 0 0 361 162 104 101
$1,324 974 1,453 1,449 145 232 51
$0 165 0
$1,528 234 113
$0 2,503 0 12 2,937
$491 410 161 48
Equiv.
$25 92 8 24 48 62 5
$133 55 690 104 23 57 71
$2 25 5
$33 22 1
$48 329 14 44 2,175
$6 265 5 2
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$1,134 3,637 538 1,989 240 2,622 916
$3,454 4,026 9,307 3,074 1,245 530 2,647
$330 583 558
$7,254 2,907 362
$340 6,179 224 874 89,918
$1,464 3,610 1,088 183
Revenue
$877 1,649 268 811 836 2,046 73
$4,476 3,002 6,855 675 1,237 1,125 1,705
$317 266 361
$2,118 1,647 109
$121 783 209 508 18,429
$1,345 2,842 489 396
EBITDA
3 Years
LTM Margins Gross
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
$109 247 31 166 29 244 25
7.9% 18.6% 20.0% 17.5% 17.3% 17.3% 41.0%
9.3% 22.0% 21.5% 14.4% 36.0% 36.0% NA
19.0% 23.3% 19.1% 28.0% 29.9% 42.9% 70.5%
12.4% 15.0% 11.6% 20.5% 3.4% 11.9% 34.1%
31.2x 40.3x 39.0x 39.2x NM 24.8x 114.7x
1.29x 2.21x 2.01x 2.45x 0.29x 1.28x 12.59x
10.4x 14.7x 17.3x 12.0x 8.4x 10.7x NM
1.16x 1.78x 1.74x 2.20x 0.48x 1.19x 11.43x
9.0x 11.3x 14.9x 9.1x 7.9x 9.8x 33.3x
Mean Median
19.9% 17.5%
23.2% 21.8%
33.2% 28.0%
15.6% 12.4%
48.2x 39.1x
3.16x 2.01x
12.3x 11.4x
2.86x 1.74x
13.6x 9.8x
4.4% 3.2% 8.0% 4.3% 15.7% (3.1%) 13.4%
4.5% 2.1% (5.4%) (11.8%) 9.8% (4.9%) 12.7%
16.7% 19.8% 21.7% 56.4% 22.9% 16.7% 32.1%
10.0% 15.4% 12.2% 38.1% 11.0% 6.9% 11.8%
22.8x 16.9x 29.1x 33.9x 29.2x NM 29.5x
0.77x 1.34x 1.36x 4.56x 1.01x 0.47x 1.55x
7.7x 8.7x 11.2x 12.0x 9.1x 6.8x 13.2x
0.77x 1.18x 1.33x 4.56x 0.93x 0.47x 1.39x
7.1x 7.9x 9.6x 10.9x 8.1x 6.0x 11.2x
Mean Median
6.6% 4.4%
1.0% 2.1%
26.6% 21.7%
15.1% 11.8%
26.9x 29.1x
1.58x 1.34x
9.8x 9.1x
1.52x 1.18x
8.7x 8.1x
$43 50 56
10.9% 21.1% 24.2%
13.5% NA (1.4%)
24.3% 32.0% 25.9%
13.4% 19.0% 15.6%
20.3x 1.0x 19.1x
1.04x 2.20x 1.55x
7.8x 11.6x 9.9x
0.92x 2.02x 1.44x
6.8x 9.7x 9.5x
Mean Median
18.7% 21.1%
6.0% 6.0%
27.4% 25.9%
16.0% 15.6%
13.5x 19.1x
9.7x 9.9x
1.46x 1.44x
8.7x 9.5x
$407 168 27
10.5% 8.6% 22.5%
8.9% 9.3% NA
30.3% 24.9% 49.9%
19.2% 10.2% 24.8%
33.4x 39.7x NM
3.42x 1.76x 3.33x
17.8x 17.3x 13.4x
3.16x 1.70x 2.75x
15.6x 15.3x 11.8x
Mean Median
13.9% 10.5%
9.1% 9.1%
35.0% 30.3%
18.1% 19.2%
36.6x 36.6x
2.84x 3.33x
16.2x 17.3x
2.54x 2.75x
14.3x 15.3x
24.2% 6.9% (5.7%) 8.3% 14.8%
NA 6.0% (1.8%) 7.3% 12.4%
53.5% 79.9% 33.1% 18.9% 31.0%
9.0% 49.8% NM 13.1% 22.4%
NM 24.5x NM 31.3x 33.8x
2.80x 7.89x 1.07x 1.72x 4.88x
31.3x 15.9x NM 13.2x 21.8x
2.31x 7.51x 2.37x 1.61x 4.31x
17.2x 14.7x 18.3x 10.8x 18.1x
Mean Median
9.7% 8.3%
6.0% 6.7%
43.3% 33.1%
23.6% 17.7%
29.9x 31.3x
3.67x 2.80x
20.5x 18.8x
3.62x 2.37x
15.8x 17.2x
$137 331 87 16
1.4% 5.9% 6.8% 0.8%
(5.1%) 3.3% (1.9%) 3.5%
35.8% 32.6% 39.6% 30.8%
10.2% 11.7% 17.9% 4.0%
NM 21.2x 26.6x NM
1.09x 1.27x 2.22x 0.46x
10.7x 10.9x 12.5x 11.5x
1.07x 1.23x 2.18x NA
9.4x 10.2x 11.3x NA
Mean Median
3.7% 3.7%
(0.0%) 0.7%
34.7% 34.2%
10.9% 10.9%
23.9x 23.9x
1.26x 1.18x
11.4x 11.2x
1.49x 1.23x
10.3x 10.2x
$449 461 834 257 136 78 201
$11 390 (2) 66 4,133
1.59x 1.55x
PAGE | 9
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
PUBLIC EQUITY MARKET OVERVIEW FOOD AND BEVERAGE INDUSTRY STOCK PERFORMANCE5 150
20.1%
140 130
20.1%
120
2.8%
110
1.2%
100
0.8%
90 80
(1.5%)
70 Oct-14
Dec-14 Restaurant
Feb-15
Natural/Organic
Apr-15
Beverage
Jun-15
Private Label Food Manufacturing
Aug-15 Protein Processing/Dairy
Oct-15 S&P 500
M&A MARKET OVERVIEW Highlighted Food and Beverage M&A Transactions5 TREASURY WINE ACQUIRES DIAGEO U.S. AND U.K. WINE ASSETS
Enterprise Value: $600mm Revenue Multiple: ND EBITDA Multiple: 7.9x Announced: October 13, 2015
One year after its turnaround, Treasury Wine Estates is taking on an aggressive strategy by acquiring Diageo’s U.S. and U.K. wine assets.
Wine brands acquired from Diageo include: Beaulieu Vineyards, Sterling Vineyards, and Blossom Hill.
The acquisition will allow the Australian company to expand its U.S. business and transform into a large scale player in the space.
CLEARWATER SEAFOODS TO ACQUIRE MACDUFF SHELLFISH
Enterprise Value: $145mm Revenue Multiple: 1.8x EBITDA Multiple: 8.2x Announced: October 9, 2015
Clearwater Seafoods has entered into an agreement to acquire Macduff Shellfish Group from the Beaton family and Change Capital Partners.
Macduff Shellfish harvests, processes, and sells scallops, langoustine, crab, and whelk.
The transaction allows Clearwater to integrate its vessel management and expand into the EU, which is the world’s largest seafood market.
BUNGE ACQUIRES WHOLE HARVEST FOODS
Enterprise Value: ND Revenue Multiple: ND EBITDA Multiple: ND Announced: October 5, 2015
Bunge North America announced that it has acquired Whole Harvest Foods.
The transaction provides Bunge with complimentary product offerings, particularly in the simple label category.
Whole Harvest refines and packages expeller pressed commercial cooking oils.
PAGE | 10
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
M&A MARKET OVERVIEW* Food and Beverage M&A Trends5 ANNOUNCED FOOD & BEV. TRANSACTIONS
MEDIAN FOOD & BEV. TRANSACTION MULTIPLES
8.8x
8.3x
8.3x
8.0x
8.0x
1.75x
9.7x
9.2x
1.50x 1.25x
6.0x
1.00x 0.75x
4.0x
0.50x 2.0x 0.0x
Aggregat e Deal Value ( $ inbillions )
9.9x
0.25x
2008
2009
2010
2011
2012
2013
2014
EV / L TM Sa les
EV / L TM EBITDA
YTD 2015
$120
400
$110.2 $95.7
$100 $67.2
$80
350 300 250
$55.7
$60
200 150
$40
$24.0
$20 $0
0.00x
450 $120.7
$9.3
2008
2009
100 50
$8.2 2010
2011
Number of Trans act ions
10.0x
$140
2.00x
11.3x
EV / LTM Sales Multiple
EV / LTM EBI TDA M ultiple
12.0x
2012
2013
Ag grega te Deal Value
2014 # of d eals
YTD 2015
0
Latest Deals and Announced Private Equity Activity5 LAST 10 DEALS ANNOUNCED
Announced 10/16/2015 10/15/2015 10/15/2015 10/14/2015 10/14/2015 10/13/2015 10/9/2015 10/8/2015 10/7/2015 10/7/2015
Target
Buyer
Premier Is - Mejerigaarden A/S Red Arrow Products Company LLC Island Oasis, Inc. Voortman Cookies Limited La Terra Fina USA, Inc. US And UK Wine Operations Macduff Shellfish Group Grupo Ibérica de Congelados, S.A. Biocentury, S.L.U. Comptoir du Caviar SAS
Food Union Kerry Group plc (ISE:KRZ) Kerry Group plc (ISE:KRZ) Swander Pace Capital HP Hood LLC Treasury Wine Estates Limited Clearwater Seafoods Portobello Capital Gestión Nutrition & Santé SAS Gardinier & Fils SAS
Number of Transactions
PRIVATE EQUITY INVESTMENTS & EXITS 60 46
50 40 30
27 27
26
20
21
32 34
27 14
17
36 25
38
48
43
26
48
51
31
18
10 0
2006
2007
2008
2009
2010
2011
2012
Number of Investments
2013
2014
2015 YTD
Number of Exits
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 11
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
DEBT MARKET OVERVIEW Food and Beverage Loan Activity7 QUARTERLY LOAN VOLUME
AVERAGE SPREAD ON FOOD & BEVERAGE LOANS
$16
L + 600
Av erage Spread Ov er LI BOR
Loan Volume by Quart er ($ in billions)
$14 $12 $10 $8 $6 $4 $2 $0
2Q09
2Q10
2Q11
2Q12
Institutional
2Q13
2Q14
L + 200 L + 100
200 9
201 0
201 1
Revolvin g Credit / Term L oan A
201 2
201 3
201 4
1H15
Weighted-A verage In stitutional
AVERAGE SECONDARY SPREADS 2012
2013
2014
L + 100 0
LTM 1H15
4.0x
2.0x
0.0x
L + 300
Pro Rata
Av erage Spread Ov er LI BOR
EBI TDA Mult iple
2011
L + 400
L+0
2Q15
CREDIT STATISTICS 6.0x
L + 500
L + 800 L + 600 L + 400 L + 200 L+0
Debt / EBITDA
Senior Debt/ EBITDA/ EBITDA - Capex/ EBITDA Cash Interest Cash Interest
Recent Debt Offerings8 Effective Date
Borrower Name
Description
Tranche Amount
Type
Rating
Spread
10/09/15
Khmer Brewery Ltd
Malt beverages
JPY 80
Term Loan
N/A
550
09/30/15
Marusan-Ai Co Ltd
Food preparations, nec
JPY 2,000
Revolver/Line >= 1 Yr.
N/A
N/A
09/30/15
Miyoshi Oil & Fat Co Ltd
Vegetable oil mills, nec
JPY 2,000
Revolver/Line >= 1 Yr.
N/A
N/A
09/30/15
Nichimo Co Ltd
Fresh or frozen prepared fish
USD 10,600
Revolver/Line >= 1 Yr.
N/A
N/A
09/30/15
Ocean Choice International L Fresh or frozen prepared fish
USD 150
Term Loan
N/A
N/A
09/30/15
Ocean Choice International L Fresh or frozen prepared fish
EUR 60
Revolver/Line >= 1 Yr.
N/A
N/A
09/30/15
Yokooshoten Co Ltd
Food preparations, nec
EUR 130
Revolver/Line >= 1 Yr.
N/A
N/A
09/28/15
CHS Inc
Flour/other grain mill products
EUR 600
Delay Draw Term Loan
N/A
150
09/26/15
Kato Brothers Honey Co Ltd
Food preparations, nec
EUR 3,000
Revolver/Line >= 1 Yr.
N/A
N/A
09/25/15
Kagome Co Ltd
Pickles/sauces/salad dressings
EUR 3,000
Revolver/Line >= 1 Yr.
N/A
N/A
09/25/15
Kinjirushi Co Ltd
Food preparations, nec
JPY 1,615
Revolver/Line >= 1 Yr.
N/A
N/A
09/25/15
Kirin Holdings Co Ltd
Malt beverages
USD 84
Term Loan
N/A
N/A
09/25/15
Maruwa Oil & Fat Co Ltd
Edible fats and oils, nec
USD 600
Revolver/Line >= 1 Yr.
N/A
N/A
USD 35
Revolver/Line >= 1 Yr.
N/A
N/A
USD 245
Revolver/Line >= 1 Yr.
N/A
N/A
06/26/13
Synlait Milk Finance Ltd
Fluid milk
06/26/13
Synlait Milk Finance Ltd
Fluid milk
PAGE | 12
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
M&A OVERVIEW* Median LTM Trading Multiples & Quarterly Food & Beverage M&A5 MEDIAN LTM TRADING MULTIPLES
QUARTERLY M&A ACTIVITY
16.0x 180
15.0x
160
10
49 34
33
6 53
42
52
48
39
8
89
10
70 46
33
5
47
52
118 82
58
57
Q41 4
25
Q31 5
Q21 5
Q11 5
Q21 4
Q11 4
Q11 3
Q21 3
Q41 2
Q31 2
Q21 2
Q11 2
Q41 1
Q11 1
Q41 0
Retail and Restaurants
Q31 0
0
Q21 0
Sep-15
Aug-15
Jul-15
Jun-15
47
46
36
Q11 0
Food Products, Processing, and Ingredie nts
May-15
Apr-15
Mar-15
Feb-15
Jan-15
Nov-14
Dec-14
Oct-14
Sep-14
20
7
6
13
9
5
7
Q31 4
7
7
Q41 3
40
4
7
7 13
10.0x
141 10
60 5
11.0x
20
6
80
Q31 1
12.0x
100
Q21 1
13.0x
8
120
Q31 3
Number of Transactions
M edian Trading M ult iple
18
140
14.0x
Private Equity Acquirer
Stra tegic Acquirer
Recent Food and Beverage M&A5 Enterprise Announced
Seller
Target
10/16/2015 10/15/2015 10/15/2015 10/14/2015 10/14/2015 10/13/2015 10/9/2015 10/9/2015 10/8/2015 10/7/2015 10/7/2015 10/6/2015 10/6/2015 10/5/2015 10/5/2015 10/5/2015 10/1/2015 10/1/2015 10/1/2015 10/1/2015 10/1/2015 9/30/2015 9/28/2015 9/23/2015 9/23/2015
Premier Is - Mejerigaarden A/S Red Arrow Products Company LLC Island Oasis, Inc. Voortman Cookies Limited La Terra Fina USA, Inc. US And UK Wine Operations Macduff Shellfish Group Mill Street Brewery Grupo Ibérica de Congelados, S.A. Biocentury, S.L.U. Comptoir du Caviar SAS Stumptown Coffee Roasters, Inc. Barrel O' Fun Snack Foods Co., Inc. Woolwich Dairy Inc. Bite Group Ltd. Whole Harvest Foods, LLC Solina Group SAS GROMART S.p.A. Eatem Foods Co. Agrial S.A., Poultry Processing Assets Pastificio di Chiavenna S.r.l. Marlow Foods Limited VitaminFizz, L.P. R2 Group A/S Avanta Serviced Office Group plc
9/22/2015 9/22/2015
Cargill Inc., Schweigert Meat Willamette Egg Farms, L.L.C.
9/21/2015 9/21/2015 9/21/2015 9/15/2015 9/15/2015 9/11/2015 9/10/2015 9/9/2015 9/8/2015 9/8/2015
Buyer
Erhvervsinvest Management A/S TSG Consumer Partners Claridge, Inc. Diageo plc (LSE:DGE) Change Capital Partners XDL Capital Group; HMW Capital Agrolimen SA TSG Consumer Partners Nova Cheese Inc. IK Investment Partners Linsalata Capital Partners Agrial S.A. Intermediate Capital Group plc Big Red and Power Brands Maj Invest Equity Cargill, Incorporated
Food Union Kerry Group plc (ISE:KRZ) Kerry Group plc (ISE:KRZ) Swander Pace Capital HP Hood LLC Treasury Wine Estates Limited Clearwater Seafoods Labatt Brewing Company Limited Portobello Capital Gestión Nutrition & Santé SAS Gardinier & Fils SAS Peet's Coffee & Tea, Inc. Shearer's Foods, Inc. Saputo Inc. (TSX:SAP) Adelie Foods Group Ltd Bunge North America, Inc. Ardian Unilever plc (LSE:ULVR) Archer-Daniels-Midland L.D.C. S.A. (ENXTPA:LOUP) Alto Partners SGR Spa Monde Nissin Corporation Athena Brands, Inc. Caldic B.V. Regus plc (LSE:RGU) Bakalars Sausage Company, Inc.
WEF, INC.
Post Holdings, Inc. (NYSE:POST)
Dorset County Foods Ltd. Bioderij B.V. Harrogate Cake Company Limited Cargill, Small Pack Specialty Business Love Child (Brands) Inc. CoPak Solutions, Inc. Saint Archer Brewing Company
Cargill, Incorporated -
Eversfield Organic Limited Cérélia SA Sugar Therapy Limited Brenntag AG (XTRA:BNR)
Alpine Valley Bread Company Expresco Foods Inc.
-
Flowers Bakeries, LLC Premium Brands Holdings
Lagunitas Brewing Company
-
9/8/2015 9/8/2015
Natural Food Holdings, Inc. Bright Blue Foods Ltd.
LNK Partners NBGI Private Equity Limited
9/4/2015
State Fish - HPP Business & Calpack
State Fish Company Inc
Enterprise Value
($mm)
Sales
EBITDA
Private Equity Geographic Involvement
EBIT
Location
$600.0 $144.5 $61.1 $832.3 -
1.8x -
7.9x 8.2x -
-
-
-
-
EU N.A.
$90.0
1.1x
6.0x
-
N.A.
$5.7 $120.0 -
1.5x -
-
-
EU EU EU EU N.A. N.A. N.A. N.A. N.A.
Heineken NV (ENXTAM:HEIA)
-
-
-
-
Perdue Farms Inc. Endless LLP
-
-
-
-
ICPK Corporation
$12.7
-
-
-
GreenSpace Brands Inc. Star Snax, LLC Tenth and Blake Beer Company
EU Cross Border Cross Border N.A. N.A. Cross Border Cross Border N.A. EU EU EU N.A. N.A. N.A. EU N.A. EU EU N.A. EU EU Cross Border N.A. EU
Cross Border
N.A. EU N.A.
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 13
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
M&A OVERVIEW* Recent Food and Beverage M&A5 Enterprise Announced
Target
Seller
Buyer
9/4/2015 9/4/2015
Elgorriaga Brands, S.A. Virtue Cider Company
-
Energy Shot Iberica S.L. Fulton Street Brewery, LLC
9/3/2015
Nutrafur S.A.
-
Frutarom Industries Ltd. (TASE:FRUT)
9/2/2015 8/31/2015
Green Giant, Le Sueur Stable & Frozen New York Fries Ltd.
General Mills, Inc. (NYSE:GIS) 122164 Canada Ltd.
8/31/2015 8/31/2015 8/27/2015
Canon Potato Company, LLC QiZiNi Group B.V. Twin Rivers Technologies
Felda Global Ventures
B&G Foods North America, Inc. Cara Operations Limited (TSX:CAO) H.C. Schmieding Produce Company, In Natsu Foods GmbH & Co. KG Viterra Inc.
8/26/2015
Dicot Partners, S.L
Gestion Ganuza S.L.
Yantai Changyu Pioneer
8/26/2015
Talbott Vineyards
-
E. & J. Gallo Winery, Inc.
8/26/2015 8/25/2015
Proviand BV DOUX SA
Développement et Partenariat SA
8/25/2015
McNeil Nutritionals, LLC., Splenda
8/21/2015
Caesar's Pasta, LLC.
8/21/2015 8/21/2015
Enterprise Value
($mm)
Sales -
-
$14.5 $765.0 -
EBITDA
EBIT
Private Equity
European
Involvement
Transaction
-
-
EU N.A.
1.1x
-
-
Cross Border
1.1x -
6.4x -
-
N.A. N.A. N.A.
$143.7
0.5x
-
-
EU N.A.
$39.3
1.0x
-
-
Cross Border
-
-
-
-
N.A.
Like Meat GmbH Sofiprotéol; Terrena SARL
-
-
-
-
EU EU
McNeil Nutritionals, LLC
TC Heartland LLC
-
-
-
-
N.A.
-
Consolidated Investment Group, LLC
-
-
-
B.V. Vurense Snack Industrie Norbest, LLC
NPM Capital N.V.; SHV Holdings -
Hearthside Group Holdings, LLC
-
-
N.A. Cross Border
J. D. Heiskell & Company, Inc.
-
-
-
-
N.A.
8/20/2015
Deep Eddy Vodka & Spirits
DE Spirits LLC
HeavenHill Distilleries,Inc.
-
-
-
-
N.A.
8/20/2015
The Mediterranean Snack Food
-
American Halal Company, Inc.
-
-
-
-
N.A.
8/19/2015 8/19/2015
Hudson Baking Company, LLC Ovation Brands, Inc.
Buffets Holdings, Inc.
Le Petit Pain Holdings, LLC
-
-
-
-
N.A.
Food Management Partners, Inc.
-
-
-
-
N.A.
8/18/2015
Big Smoke Burger Inc.
-
MTY Tiki Ming Enterprises Inc.
$3.8
-
-
-
8/16/2015
EWOS Group AS
Albain Fund III, Bain Capital
Cargill, Incorporated
$1,495.1
-
-
-
8/12/2015 8/11/2015
Dave's Killer Bread company Niagara Natural Fruit Snack Co., Inc.
Goode Partners LLC -
Flowers Bakeries, LLC SunOpta Inc. (TSX:SOY)
$275.0 $6.7
-
-
-
8/11/2015
Aqua Farming Technology Inc.
Xl Biofuels, Inc
New Global Energy, Inc.
8/7/2015 8/7/2015
Pleasant Kids, Inc. (OTCPK:PLKD) Wallaby Yogurt Company, Inc.
-
NEXT Group Holdings, Inc.
8/7/2015
Irish Pride Bakeries Ltd.
-
8/7/2015
Twin Beans DoubleShot
-
8/7/2015 8/6/2015 8/5/2015
Bobby & Fritz GmbH Classic Fine Foods UK Ltd Boyer's Coffee Company, Inc.
EQT Partners AB -
Autobahn Tank & Rast Holding METRO AG (DB:MEO)
8/5/2015
Gold Pure Food Products Co., Inc.
-
8/4/2015 8/4/2015
GRUPO CUTTING'S, S.L. Starr Restaurants Catering Group GP, LLC
8/4/2015 8/3/2015 8/2/2015
N.A. Cross Border N.A. N.A.
-
-
-
$125.0
2.8x
-
-
Pat The Baker Ltd
-
-
-
-
EU
Twin Beans Coffee
-
-
-
-
N.A.
-
-
The WhiteWave Foods Company
-
-
$328.0 -
1.6x -
-
-
LaSalle Capital
-
-
-
-
-
Guzman Gastronomia S.L. TrustHouse Services Group, Inc.
-
-
-
-
Buona Compagnia Gourmet s.r.l.
Assietta Private Equity SGR SpA
Gradiente SGR S.p.A.
-
-
-
-
The Kerfoot Group Ltd Just Baked LLC
-
Avril SCA
-
-
Tubby's Sub Shops Inc.
-
8/1/2015 7/31/2015
Meatsnacks Group Ltd Ab A.Kastén Oy
Helmet Business Mentors Oy
Cruga Biltong Ltd.
-
-
7/31/2015
Little Big Burger LLC Sunrise Growers, Inc.
Paine & Partners, LLC; SGF Produce
$6.1 $450.0
Paisley Farm, Inc.
-
7/30/2015 7/30/2015
Thompson Bros. Salmon Limited Direct Ocean SA
-
7/29/2015
Sharrocks Fresh Produce Ltd.
E.H.Booth & Co Ltd
7/27/2015 7/27/2015 7/25/2015
Spring Genetics Inc The Ilkley Brewery Company Limited Acetum S.r.l.
7/24/2015
Luna Gourmet Coffee & Tea
N.A. N.A. N.A.
EU EU N.A.
N.A. EU N.A.
-
EU EU
-
-
N.A.
-
-
EU
1.0x 1.5x
11.5x
-
EU N.A. N.A.
-
-
-
-
Cooke Aquaculture Scotland Ltd.
-
-
Freshpack SA
-
-
-
Glentrool Capital Partners LLP -
Gilbert Thompson (Leeds) Ltd Benchmark Holdings plc (AIM:BMK) Half Full Beer Co Limited Clessidra SGR S.p.A.
$5.4 -
-
-
-
Boojum Ltd.
-
Renatus Capital Partners
$3.3
6.7x
-
-
7/24/2015 7/23/2015
Taboada Grupo Alimentacio S.L. The Feel Good Drinks Company Ltd.
MBG International Premium Brands
Industrias Alimentarias de Navarra
-
-
-
7/23/2015 7/23/2015
Louis Royer SAS Euro Cakes S.p.A.
Suntory France S.A.S. -
Nichols plc (AIM:NICL) SASU Terroirs Distillers Biscuits Bouvard S.A.S
$109.8 -
-
7/23/2015
World Feeds Limited
-
Finance Yorkshire
$0.7
7/22/2015
Carte Noire, European Business
Luigi Lavazza S.p.A.
$871.8
7/22/2015 7/22/2015 7/22/2015
La Rousse Foods Ltd. Fabrelac bvba B.R. Cohn Winery
Jacobs Douwe Egberts Trading -
ARYZTA Food Solutions Ireland FrieslandCampina Cheese & Butter Vintage Wine Estates, Inc.
7/21/2015 7/21/2015
The 3D Pub Company Limited Merrick Pet Care, Inc.
Downing ONE VCT plc Highland Capital; Monitor Clipper
7/21/2015
Cumberland Breweries Ltd.
7/19/2015 7/17/2015
Societe Chiron A.C.V.F. (SAS) Italian Home Bakery Ltd. Seabrook Crisps Ltd.
7/30/2015 7/30/2015
7/17/2015
Ab Chipsters Food Oy American Roadside Burgers, Inc. SunOpta Inc. (TSX:SOY) The Fremont Company
N.A. EU EU EU
Cross Border EU
EU
-
EU EU
-
-
EU EU EU
-
-
-
-
-
-
-
Brunning & Price Limited Nestlé Purina PetCare Company
-
-
-
-
-
Alltech, Inc.
-
-
-
-
-
Liffey Meats Ltd.
-
-
-
-
-
Grupo Bimbo, S.A.B. LDC (Managers) Limited
$54.6
1.3x
-
-
EU EU EU EU N.A.
EU N.A. Cross Border EU Cross Border
EU
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 14
FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
FOOD AND BEVERAGE EARNINGS RELEASE CALENDAR Earnings Release Calendar5 October 2015 Date
Company
10/19/2015 10/19/2015 10/20/2015 10/20/2015 10/21/2015 10/22/2015 10/22/2015 10/22/2015 10/22/2015 10/22/2015 10/26/2015 10/28/2015 10/28/2015 10/28/2015 10/28/2015 10/28/2015 10/28/2015 10/29/2015 10/29/2015 10/29/2015 10/29/2015 10/29/2015 10/29/2015 10/29/2015 10/30/2015
Del Taco Restaurants, Inc. (NasdaqCM:TACO) Sonic Corp. (NasdaqGS:SONC) Chipotle Mexican Grill, Inc. (NYSE:CMG) Brinker International, Inc. (NYSE:EAT) The Coca-Cola Company (NYSE:KO) McDonald's Corp. (NYSE:MCD) Pernod-Ricard SA (ENXTPA:RI) Koninklijke Wessanen N.V. (ENXTAM:WES) Dr Pepper Snapple Group, Inc. (NYSE:DPS) Dunkin' Brands Group, Inc. (NasdaqGS:DNKN) The Cheesecake Factory Incorporated (NasdaqGS:CAKE) Panera Bread Company (NasdaqGS:PNRA) The Hershey Company (NYSE:HSY) Walgreens Boots Alliance, Inc. (NasdaqGS:WBA) Cott Corporation (TSX:BCB) Mondelez International, Inc. (NasdaqGS:MDLZ) Buffalo Wild Wings Inc. (NasdaqGS:BWLD) Starbucks Corporation (NasdaqGS:SBUX) Ingredion Incorporated (NYSE:INGR) Pilgrim's Pride Corporation (NasdaqGS:PPC) Maple Leaf Foods Inc. (TSX:MFI) DineEquity, Inc. (NYSE:DIN) Fiesta Restaurant Group, Inc. (NasdaqGS:FRGI) Boston Beer Co. Inc. (NYSE:SAM) Anheuser-Busch InBev SA/NV (ENXTBR:ABI)
November 2015 Date
Company
11/2/2015 11/3/2015 11/3/2015 11/3/2015 11/3/2015 11/3/2015 11/3/2015 11/4/2015 11/4/2015 11/5/2015 11/5/2015 11/5/2015
Sysco Corporation (NYSE:SYY) Archer-Daniels-Midland Company (NYSE:ADM) Associated British Foods plc (LSE:ABF) Kellogg Company (NYSE:K) Papa John's International Inc. (NasdaqGS:PZZA) Bloomin' Brands, Inc. (NasdaqGS:BLMN) Kellogg Company (NYSE:K) The Wendy's Company (NasdaqGS:WEN) Asahi Group Holdings, Ltd. (TSE:2502) Kikkoman Corp. (TSE:2801) Molson Coors Brewing Company (NYSE:TAP) Treehouse Foods, Inc. (NYSE:THS)
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FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
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FOOD AND BEVERAGE INDUSTRY UPDATE │ OCTOBER 2015
HARRIS WILLIAMS & CO. SOURCES
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6. Thomson Financial 7. S&P 8. Reuters DISCLOSURES Harris Williams & Co. (www.harriswilliams.com) is a preeminent middle market investment bank focused on the advisory needs of clients worldwide. The firm has deep industry knowledge, global transaction expertise, and an unwavering commitment to excellence. Harris Williams & Co. provides sell-side and acquisition advisory, restructuring advisory, board advisory, private placements, and capital markets advisory services. Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business. THIS REPORT MAY CONTAIN REFERENCES TO REGISTERED TRADEMARKS, SERVICE MARKS AND COPYRIGHTS OWNED BY THIRD-PARTY INFORMATION PROVIDERS. NONE OF THE THIRD-PARTY INFORMATION PROVIDERS IS ENDORSING THE OFFERING OF, AND SHALL NOT IN ANY WAY BE DEEMED AN ISSUER OR UNDERWRITER OF, THE SECURITIES, FINANCIAL INSTRUMENTS OR OTHER INVESTMENTS DISCUSSED IN THIS REPORT, AND SHALL NOT HAVE ANY LIABILITY OR RESPONSIBILITY FOR ANY STATEMENTS MADE IN THE REPORT OR FOR ANY FINANCIAL STATEMENTS, FINANCIAL PROJECTIONS OR OTHER FINANCIAL INFORMATION CONTAINED OR ATTACHED AS AN EXHIBIT TO THE REPORT. FOR MORE INFORMATION ABOUT THE MATERIALS PROVIDED BY SUCH THIRD PARTIES, PLEASE CONTACT US AT THE ABOVE ADDRESSES OR NUMBERS. The information and views contained in this report were prepared by Harris Williams & Co. (“Harris Williams”). It is not a research report, as such term is defined by applicable law and regulations, and is provided for informational purposes only. It is not to be construed as an offer to buy or sell or a solicitation of an offer to buy or sell any financial instruments or to participate in any particular trading strategy. The information contained herein is believed by Harris Williams to be reliable, but Harris Williams makes no representation as to the accuracy or completeness of such information. Harris Williams and/or its affiliates may be market makers or specialists in, act as advisers or lenders to, have positions in and effect transactions in securities of companies mentioned herein and also may provide, may have provided, or may seek to provide investment banking services for those companies. In addition, Harris Williams and/or its affiliates or their respective officers, directors and employees may hold long or short positions in the securities, options thereon or other related financial products of companies discussed herein. Opinions, estimates and projections in this report constitute Harris Williams’ judgment and are subject to change without notice. The financial instruments discussed in this report may not be suitable for all investors, and investors must make their own investment decisions using their own independent advisors as they believe necessary and based upon their specific financial situations and investment objectives. Also, past performance is not necessarily indicative of future results. No part of this material may be copied or duplicated in any form or by any means, or redistributed, without Harris Williams’ prior written consent. Copyright© 2015 Harris Williams & Co., all rights reserved.
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