FOOD AND BEVERAGE INDUSTRY UPDATE
│ SEPTEMBER 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 │ SEPTEMBER 2015
WHAT WE’RE SEEING MARKET UPDATE M&A activity in the food and beverage sector maintained its strong momentum as strategic acquirers continued to pursue assets that provide access to ontrend and specialty food and beverage segments. The month of September built upon themes seen in prior months with better-for-you and organic products garnering interest from financial and strategic buyers alike. Over the past month, the market saw Flowers Foods bolster its natural and organic product offering with the acquisition of Alpine Valley Bread (following its acquisition of Dave’s Killer Bread in August), while Post acquired Willamette Egg Farms, a egg producer focused on sustainability and the humane treatment of animals, themes that are on trend and resonating with consumers.
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
and
has been acquired by
Andy Warczak Vice President
[email protected] +1 (612) 359-2714
www.harriswilliams.com
PAGE | 1
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
WHAT WE’RE READING BIG BEER MERGER COULD MAKE WAVES ACROSS WIDER BEVERAGE SECTOR Rumors continue to swirl that Anheuser-Busch InBev is preparing a takeover bid for SABMiller PLC, in a deal that could be valued at $100 billion+. The potential transaction could have major implications outside of alcoholic beverages, with a combined company capable of acquiring a soft drink bottler as large as Pepsi or Coca-Cola. Such a move could catalyze further consolidation within the beverage industry, with the thesis of consolidating distribution, particularly in international markets. Access to the full article here. LIMITED TIME BEVERAGES SPICE THINGS UP FOR FOODSERVICE OPERATORS According to a study by The NPD Group, seasonal beverage offerings have proven successful in driving additional traffic and higher checks. NPD’s analysis of pumpkin spice latte purchases showed that of the sample size, 72% of purchasers bought the beverage only once, while 20% of purchasers bought the beverage twice. Average check among these purchasers was 17% higher at $7.81, as compared to $6.67 for non-purchasers. Pairing the specialty beverage with food items is the most likely driver of the check increase. Access to the full article here. APPLES ARE AMERICAN KIDS' FAVORITE FRUIT In a study conducted by the U.S. National Center for Health Statistics, data shows that apples and apple juice, the largest and third largest source of pediatric fruit intake, accounted for 19% and 10% of consumption, respectively. Citrus juice took the second spot at 14% of fruit intake. The study also found that whole fruits made up 53% of consumption, 100% fruit juices made up 34%, with the remainder comprised of mixed fruit products that are not 100% fruit. Access to the full article here.
VITAL SIGNS COMMODITY PRICE INDICES1 Commodity Price Index
140 120
Soybeans: (30.8%)
100
Wheat: (45.0%)
80
Corn: (47.6%)
60 40 Aug-11
Feb-12
Aug-12 Corn
Feb-13
Aug-13
Soybeans
Feb-14
Aug-14
Wheat
Feb-15
Crude Oil: (54.5%) Aug-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 │ SEPTEMBER 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
Feb-15
Aug-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
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
Protein Processing
(3.7%)
10.8%
(10.8%)
(15.7%)
11.1x
15.0x
8.3x
2.6x
Fruit and Vegetable
(0.3%)
9.6%
(10.3%)
(4.1%)
15.8x
20.0x
10.8x
1.0x
Ingredients / Flav ors
(5.1%) (18.7%)
(5.2%) (8.7%)
9.0% (22.2%)
19.7x 11.3x
25.6x 13.2x
13.8x 8.5x
1.8x 1.8x
6.2%
Agribusiness Branded Processed Foods Priv ate Label Foods and Bev erages Natural / Organic Foods / BFY Baked Goods Dairy Non-Alcoholic Bev erages
5.5% (21.5%)
4.6%
18.2%
8.2%
3.0%
18.6%
21.3x
30.8x
14.1x
2.6x
(16.1%)
(4.6%)
34.1x
34.2x
12.6x
5.5x
0.2%
26.4x
57.8x
21.0x
3.7x
23.7x 19.3x
36.3x 24.2x
10.8x 10.2x
2.7x 1.6x 1.8x
(10.1%)
(13.1%)
(14.2%)
0.6% (4.5%)
0.1% (8.7%)
(0.2%) (9.5%)
(13.8%) (11.0%)
(1.2%)
(0.1%)
(1.2%)
2.9%
19.3x
21.5x
13.1x
Alcoholic Bev erages
(3.1%)
(4.3%)
(1.5%)
6.1%
21.1x
23.5x
14.2x
2.8x
Snacks
(0.8%)
17.7%
(2.0%)
6.4%
25.4x
30.6x
13.8x
2.2x
Grocery Distribution Food Retail
(7.2%) (7.2%)
(4.3%) 4.5%
(11.7%) (6.6%)
15.6x 17.8x
17.4x 19.2x
7.0x 7.4x
1.7x 2.0x
Foodserv ice
(12.4%) 3.3%
(6.4%)
(12.1%)
(0.6%)
2.3%
21.4x
31.3x
11.0x
6.5x
Quick Serv ice Restaurant
(13.8%)
11.8%
(14.0%)
8.7%
24.3x
31.0x
11.8x
2.5x
Fast Casual Differentiated Casual
(15.0%) (0.6%)
(4.4%) 18.2%
(14.2%) (2.2%)
(21.1%) (15.6%)
38.1x 30.6x
31.9x 38.0x
12.6x 11.7x
0.7x 2.0x 2.0x
Casual Dining Restaurant Fine Dining Pizza Bev erage / Snack Retail Family Restaurant
Overall Median
(6.8%)
13.9%
(6.3%)
(3.2%)
18.8x
29.1x
9.1x
(27.4%)
1.4%
(13.8%)
(12.6%)
18.4x
19.4x
10.2x
2.8x
(5.1%) (9.8%)
68.8% 5.4%
(10.2%) (17.2%)
16.7% (0.6%)
29.9x 29.4x
38.0x 32.4x
17.5x 19.1x
3.7x 2.9x
(1.3%)
5.7%
(5.4%)
22.4%
24.9x
21.8x
11.2x
2.4x
(4.0%)
5.6%
(6.0%)
2.5%
21.3x
26.1x
11.8x
2.3x
PAGE | 3
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC EQUITY MARKET OVERVIEW PUBLIC COMPANY SECTOR PERFORMANCE (ONE YEAR CHANGE IN STOCK PRICE)5 Pizza Branded Processed Foods Differentiated Casual Snacks Casual Dining Restaurant S&P Quick Serv ice Restaurant Protein Processing Fruit and Vegetable Family Restaurant Ingredients / Flav ors Bev erage / Snack Retail Food Retail Priv ate Label Foods and Beverages Fine Dining Baked Goods Non-Alcoholic Bev erages Grocery Distribution Alcoholic Bev erages Fast Casual Dairy Foodserv ice
Natural / Organic Foods / BFY
Agribusiness (30.0%)
(15.0%)
0.0%
15.0% Inputs
30.0%
45.0%
Food and Beverage
60.0%
75.0%
90.0%
Consumer and Retail
RECENT EQUITY OFFERINGS6
Close Date 09/21/15
Filing Date 09/21/15
08/17/15
Gross Proceeds ($mm) Use of Funds $964.9 Secondary
Issuer The JM Smucker Co
Ticker SJM
Transaction Type Follow-On
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
05/26/15
05/26/15
Cott Corp
COTT
Follow-On
$150.0
05/05/15
09/08/14
Pinnacle Foods Inc
PF
Follow-On
$204.8
Redeem A Class Shares, Pay Fees & Expenses Secondary
04/29/15
04/28/15
B&G Foods Inc
BGS
Follow-On
$128.5
General Corp. Purp.
Secondary Pay Fees & Expenses Reduce Indebtedness Secondary Pay Fees & Expenses General Corp. Purp.
Construction Working Capital Secondary General Corp. Purp.
PAGE | 4
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC COMPARABLES5 Price at ($ 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
9/21/15 52-wk High
$49.23 37.23 51.47 42.40 56.79 61.22 67.66 83.18 76.22 68.61 92.78 117.05
$11.57 27.36 81.73
96.4% 99.2% 98.5% 93.2% 94.9% 95.5% 96.8% 97.5% 96.1% 96.3% 83.3% 97.0%
98.1% 86.5% 88.0%
Market Cap
$38,727 2,158 15,983 18,306 34,057 16,194 23,923 10,619 243,040 4,165 20,355 14,007
$1,268 290 3,520
Cash & Debt
$1,675 984 4,095 7,870 9,434 600 7,507 1,431 24,371 4,610 2,414 5,997
$1,752 238 1,346
Equiv.
$437 99 253 114 451 349 294 95 5,052 274 402 134
$79 8 54
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$39,965 3,044 19,825 26,061 43,040 16,445 31,136 11,954 262,358 8,500 22,366 19,870
$2,942 521 4,812
Revenue
$20,062 858 8,082 15,863 17,570 9,407 14,207 4,251 97,991 4,382 7,488 6,321
$2,568 1,273 3,242
EBITDA
BETR BDBD TSX:SOY HAIN WWAV
$12.49 8.87 7.29 57.76 46.20
72.6% 63.8% 59.6% 81.8% 88.3%
$937 545 501 5,927 8,120
$216 299 158 844 1,582
$13 31 4 167 27
$1,140 813 654 6,604 9,674
$163 509 1,203 2,689 3,603
SWX:ARYN FLO WN BIMBO A LANC
$53.87 24.36 82.47 2.55 100.01
61.5% 98.4% 95.6% 95.2% 98.4%
$4,750 5,120 10,551 12,002 2,736
$3,279 693 11,088 4,244 0
$985 47 2,206 209 182
$7,043 5,767 19,433 16,037 2,554
$5,753 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%) (10.3%) (1.3%) 3.4% (3.0%) 0.9% (3.6%) NM 3.1% 13.2%
2.9% 13.4% 4.0% 5.4% 1.4% 4.8% 2.4% 2.7% 2.7% 66.5% 5.7% 3.5%
24.0% 29.6% 34.7% 21.8% 34.9% 18.6% 34.2% 40.5% 49.0% 25.0% 45.2% 36.0%
12.0% 21.5% 18.8% 13.9% 19.4% 12.5% 11.6% 16.2% 19.0% 13.7% 22.2% 20.4%
44.5x 45.0x 23.3x NM 26.9x 24.7x 64.2x 25.4x 16.4x NM 36.2x 34.7x
1.99x 3.55x 2.45x 1.64x 2.45x 1.75x 2.19x 2.81x 2.68x 1.94x 2.99x 3.14x
16.7x 16.5x 13.0x 11.8x 12.6x 14.0x 19.0x 17.3x 14.1x 14.2x 13.4x 15.4x
1.92x 2.56x 2.44x 1.66x 2.47x 1.71x 2.27x 2.72x 2.75x 1.61x 2.92x 2.49x
16.7x 12.0x 12.5x 11.8x 12.4x 13.1x 12.3x 15.9x 14.5x 10.9x 12.6x 11.7x
Mean Median
(0.1%) (1.3%)
9.6% 3.8%
32.8% 34.4%
16.8% 17.5%
34.1x 30.8x
2.47x 2.45x
14.8x 14.1x
2.29x 2.46x
13.0x 12.4x
$264 41 369
25.3% (5.6%) 31.0%
3.6% 1.1% 15.3%
22.7% 6.8% 20.1%
10.3% 3.3% 11.4%
71.3x 22.6x 34.2x
1.15x 0.41x 1.48x
11.2x 12.6x 13.0x
0.97x NA 1.45x
8.0x NA 12.0x
16.9% 25.3%
6.7% 3.6%
16.6% 20.1%
8.3% 10.3%
42.7x 34.2x
1.01x 1.15x
12.2x 12.6x
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 148.6x 35.7x 57.8x
7.00x 1.60x 0.54x 2.46x 2.68x
21.4x 17.7x 11.7x 21.0x 23.3x
5.56x 1.54x 0.47x 2.18x 2.36x
15.0x 11.1x 6.7x 15.5x 17.7x
12.1% 11.4%
16.6% 18.3%
32.1% 34.1%
13.9% 11.5%
80.7x 57.8x
2.86x 2.46x
19.0x 21.0x
2.42x 2.18x
13.2x 15.0x
(6.1%) 0.7% 13.8% (5.4%) 6.1%
4.1% 8.9% 6.3% 3.3% 3.8%
27.9% 48.4% 26.6% 53.0% 23.3%
14.6% 11.7% 6.6% 11.4% 15.9%
36.8x 28.0x 36.3x 48.5x 26.9x
8.4x 13.1x 7.7x 10.8x 14.5x
1.56x 1.49x 0.54x 1.21x 2.17x
9.6x 12.1x 6.2x 10.9x 13.4x
1.6% 0.7%
5.1% 4.1%
34.5% 27.9%
12.0% 11.7%
35.5x 36.3x
10.9x 10.8x
1.40x 1.40x
10.5x 10.8x
$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 1,522 2,200 3,411 1,177 1,641 691 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
$839 440 2,513 1,480 176 Mean Median
1.22x 1.53x 0.51x 1.24x 2.31x 1.36x 1.24x
PAGE | 5
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC COMPARABLES5 Price at ($ 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
9/21/15 52-wk High
$62.76 17.70 417.67 19.02 13.13 2.58 23.01 65.34
$8.71 11.57 78.06 57.00 107.96 135.24 28.40 93.71 39.19
$110.33 99.88 76.78 128.22 27.42 82.44 13.38 103.68 55.44 3.73
$31.34 4.15 8.80 118.06 54.77 42.85 93.71 35.16
82.8% 89.7% 96.5% 86.7% 58.7% 90.9% 100.0% 90.1%
80.4% 98.1% 93.4% 35.9% 98.6% 86.8% 95.7% 93.0% 87.1%
Market Cap
$38,473 1,671 2,234 5,633 215 4,738 9,024 916
$1,005 1,268 14,901 8,781 754 27,792 1,318 137,659 170,477
82.4% $176,449 89.9% 21,627 78.5% 11,851 97.0% 25,064 86.1% 68,713 95.0% 47,180 84.3% 12,278 78.7% 27,370 94.4% 89,217 81.5% 1,462
92.9% 87.6% 62.4% 98.4% 95.7% 88.2% 93.0% 99.3%
$986 47 172 2,208 610 69,045 137,659 2,485
Cash & Debt
$13,529 839 609 745 9 386 1,498 980
$47 1,752 2,607 415 301 0 5 31,458 44,553
$51,504 1,492 6,106 7,339 15,883 12,823 6,413 10,892 12,550 2,018
$648 10 92 2 98 19,378 31,458 443
Equiv.
$4,179 106 308 105 6 1,200 141 507
$16 79 150 80 0 2,931 66 9,579 20,953
$6,784 494 422 134 742 946 227 663 1,027 87
$32 1 1 127 2 2,028 9,579 43
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$47,823 2,405 2,536 6,274 217 3,924 10,381 1,389
$1,035 2,942 17,358 9,116 1,055 24,860 1,257 159,538 194,077
$221,169 22,625 17,535 32,269 83,854 59,058 18,464 37,599 100,740 3,392
$1,602 56 264 2,083 706 86,395 159,538 2,885
Revenue
$24,583 8,834 3,569 2,970 119 6,588 8,497 5,072
$397 2,568 6,198 4,679 1,091 2,562 657 65,306 45,715
$45,762 3,128 9,684 6,133 17,004 22,242 18,322 9,533 16,534 4,351
$881 131 290 970 887 32,590 65,306 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%) 22.0% (10.8%) (6.4%) (17.2%)
(1.1%) (3.6%) 7.1% 7.2% 19.4% 3.9% 7.4% (0.6%)
49.0% 20.7% 33.8% 29.6% 26.4% 18.5% 9.9% 33.4%
16.1% 3.6% 8.9% 9.9% 6.3% 7.1% 9.9% 5.9%
36.4x NM 18.8x 31.3x NM 28.1x 20.2x 16.2x
1.95x 0.27x 0.71x 2.11x 1.83x 0.60x 1.22x 0.27x
12.0x 7.7x 8.0x 21.3x 29.0x 8.4x 12.3x 4.6x
1.85x 0.29x 0.75x 1.94x 1.54x 0.55x 1.25x 0.27x
11.0x 6.4x 8.3x 17.2x 10.4x 7.3x 11.9x 4.3x
Mean Median
(5.8%) (8.4%)
4.9% 5.5%
27.7% 28.0%
8.5% 8.0%
25.2x 24.2x
1.12x 0.97x
12.9x 10.2x
1.05x 1.00x
9.6x 9.3x
$77 264 1,422 1,115 117 852 89 12,194 12,700
(8.4%) 25.3% 2.7% 2.6% 10.1% 8.8% 2.0% (1.9%) (1.1%)
3.3% 3.6% 1.2% 8.9% 4.7% 9.9% 0.7% (0.7%) (1.3%)
49.1% 22.7% 58.9% 36.8% 28.1% 56.1% 33.8% 54.1% 61.0%
19.4% 10.3% 22.9% 23.8% 10.7% 33.3% 13.6% 18.7% 27.8%
21.3x NM 21.3x 16.8x 20.4x 49.7x 26.1x 21.7x 22.9x
2.61x 1.15x 2.80x 1.95x 0.97x 9.70x 1.91x 2.44x 4.25x
13.5x 11.2x 12.2x 8.2x 9.1x 29.2x 14.1x 13.1x 15.3x
2.53x 0.97x 2.77x 2.00x NA 8.19x NA 2.48x 4.28x
12.8x 8.0x 11.4x 8.7x NA 23.0x NA 12.5x 15.2x
Mean Median
4.5% 2.6%
3.4% 3.3%
44.5% 49.1%
20.1% 19.4%
25.0x 21.5x
3.09x 2.44x
14.0x 13.1x
3.32x 2.53x
13.1x 12.5x
$17,597 1,097 1,871 1,840 5,284 4,722 2,158 1,996 5,435 336
(1.0%) 3.9% (18.4%) 7.2% (3.1%) (15.0%) (16.2%) (12.4%) (1.0%) (15.0%)
5.2% 4.4% (4.1%) 32.2% 1.7% 4.3% 7.3% (4.0%) (0.2%) 2.8%
60.2% 69.7% 49.1% 44.1% 57.6% 38.8% 43.3% 61.9% 70.3% 34.2%
38.5% 35.1% 19.3% 30.0% 31.1% 21.2% 11.8% 20.9% 32.9% 7.7%
19.0x 30.6x 20.8x 29.7x 18.7x 20.9x 28.6x 28.7x 26.1x 14.1x
4.83x 7.23x 1.81x 5.26x 4.93x 2.66x 1.01x 3.94x 6.09x 0.78x
12.6x 20.6x 9.4x 17.5x 15.9x 12.5x 8.6x 18.8x 18.5x 10.1x
4.80x 5.36x 1.77x 4.93x 5.01x 2.56x 1.00x 3.81x 6.54x 0.75x
12.2x 19.5x 8.6x 15.4x 15.2x 10.8x 8.4x 13.1x 16.8x 9.4x
Mean Median
(7.1%) (7.7%)
5.0% 3.5%
52.9% 53.3%
24.8% 25.6%
23.7x 23.5x
3.85x 4.39x
14.4x 14.2x
3.65x 4.30x
12.9x 12.6x
$94 7 19 149 65 5,070 12,194 186
4.2% (2.6%) 14.9% 7.3% 14.0% (7.0%) (1.9%) 9.2%
(3.9%) (1.5%) 17.9% 6.3% 8.2% 7.1% (0.7%) 1.1%
25.3% 49.6% 16.8% 31.0% 14.9% 37.7% 54.1% 35.2%
10.6% 5.5% 6.6% 15.3% 7.3% 15.6% 18.7% 11.0%
42.9x 25.6x NM 30.6x 21.0x 33.8x 21.7x 36.3x
1.82x 0.42x 0.91x 2.15x 0.80x 2.65x 2.44x 1.72x
17.1x 7.7x 13.7x 14.0x 10.8x 17.0x 13.1x 15.5x
1.80x NA 0.86x 2.05x 0.74x 3.08x 2.48x 1.66x
13.0x NA 11.9x 13.1x NA 16.8x 12.5x 13.4x
Mean Median
4.8% 5.8%
4.3% 3.7%
33.1% 33.1%
11.3% 10.8%
30.3x 30.6x
1.61x 1.77x
13.6x 13.8x
1.81x 1.80x
13.4x 13.0x
PAGE | 6
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC COMPARABLES5 Price at ($ 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
9/21/15 52-wk High
Cap
$55.94 4.14 70.25 3,175.00 42.66
$2,713 11,939 1,575 3,716 17,325
92.1% 93.9% 73.4% 68.4% 94.6%
Cash & Debt
$51 15,670 10 109 7,234
Equiv.
$259 4,472 181 708 473
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$2,505 23,136 1,404 3,117 24,086
Revenue
$1,576 44,312 2,885 6,179 40,972
EBITDA
$276 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. 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 SPTN SVU UNFI
$46.89 40.49 27.36 1.40
$1,686.12 $88.67 106.06 74.07 63.97 59.51 8.67
$43.38 71.05 51.72 11.60 87.67 34.42 36.44
$81.33 62.83 27.64 7.88 51.52
75.5% 98.4% 86.5% 94.1%
84.0% 94.5% 86.2% 92.1% 90.7% 82.5% 81.9%
80.5% 76.3% 73.5% 59.7% 69.6% 53.5% 67.7%
92.1% 87.9% 81.6% 65.7% 61.4%
$815 2,124 290 464
$15,532 6,328 8,547 13,027 2,932 7,726 4,043
$26,416 10,220 12,053 1,916 41,015 957 12,912
$50 1,448 1,037 2,087 2,581
$40 209 238 204
$1,352 2,212 998 1,786 574 1,655 1,141
$6,923 4,846 4,593 2,045 8,983 586 3,846
$18 149 538 2,712 549
$6 34 8 110
$307 677 379 198 22 216 400
$1,176 792 810 126 1,101 41 2,210
$0 15 13 137 17
$849 2,299 521 558
$16,578 7,863 9,165 14,615 3,483 9,165 4,784
$32,163 14,274 15,836 3,836 48,897 1,502 14,548
$68 1,582 1,562 4,662 3,113
$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 15,276 4,383 9,256
$883 8,483 7,881 17,963 8,185
LTM Margins Gross
EBITDA
P/E Multiple
EV / LTM Revenue
EV / 2015E
EBITDA
Revenue
EBITDA
9.4% (8.5%) 5.2% (6.1%) 12.7%
12.3% 10.3% 7.9% 1.8% 7.3%
25.1% 15.7% 20.4% 8.9% 9.1%
17.5% 9.1% 17.6% 6.1% 6.8%
16.8x 15.0x 5.7x 12.9x 15.9x
1.59x 0.52x 0.49x 0.50x 0.59x
9.1x 5.8x 2.8x 8.3x 8.7x
1.05x 0.49x 0.48x NA 0.59x
2.8x 5.5x 4.0x NA 7.6x
2.5% 5.2%
7.9% 7.9%
15.8% 15.7%
11.4% 9.1%
13.3x 15.0x
0.74x 0.52x
6.9x 8.3x
0.65x 0.54x
5.0x 4.8x
$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%
38.3x 17.5x 22.6x 14.3x
1.00x 0.58x 0.41x 0.18x
15.6x 9.1x 12.6x 8.2x
0.90x 0.57x NA 0.18x
13.6x 8.9x NA 6.8x
Mean Median
(1.4%) (1.5%)
5.8% 3.5%
9.9% 9.5%
4.6% 4.8%
23.2x 20.0x
0.54x 0.50x
11.4x 10.8x
0.55x 0.57x
9.8x 8.9x
$971 849 664 839 264 590 410
(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%
20.7% 15.1% 21.6% 12.8% 18.8% 21.1% 11.7%
25.6x 17.6x 20.1x 22.3x 27.9x 31.8x 86.5x
3.53x 1.40x 2.98x 2.23x 2.49x 3.28x 1.37x
17.1x 9.3x 13.8x 17.4x 13.2x 15.5x 11.7x
3.65x 1.34x 2.93x 2.14x 2.48x 3.07x 1.20x
15.1x 8.7x 12.7x 15.6x 12.8x 13.7x 9.2x
Mean Median
(7.1%) (4.2%)
0.1% (0.9%)
38.8% 42.4%
17.4% 18.8%
33.1x 25.6x
2.47x 2.49x
14.0x 13.8x
2.40x 2.48x
12.5x 12.8x
$3,785 1,770 2,053 441 4,694 129 2,404
(16.0%) (20.9%) (12.4%) 27.6% (1.0%) (13.7%) 20.7%
(6.1%) (5.1%) (11.7%) 29.5% 3.8% (2.2%) (6.0%)
6.8% 5.7% 42.0% 21.6% 55.3% 8.9% 22.0%
5.1% 3.6% 46.6% 11.9% 30.7% 3.0% 26.0%
12.0x 20.4x 13.2x 22.0x 16.4x 12.7x 10.8x
0.44x 0.29x 3.60x 1.03x 3.20x 0.34x 1.57x
8.5x 8.1x 7.7x 8.7x 10.4x 11.6x 6.1x
0.42x 0.30x 3.30x 1.11x 3.06x 0.34x 1.49x
8.5x 6.8x 6.5x 8.3x 9.6x 7.2x 6.1x
Mean Median
(2.3%) (12.4%)
0.3% (5.1%)
23.2% 21.6%
18.1% 11.9%
15.3x 13.2x
1.50x 1.03x
8.7x 8.5x
1.43x 1.11x
7.6x 7.2x
$14 112 223 793 307
5.8% 6.8% 27.6% 4.6% 20.5%
3.0% 8.0% 44.1% 16.1% 16.1%
8.7% 7.1% 14.5% 15.0% 15.4%
1.5% 1.3% 2.8% 4.4% 3.7%
9.7x 31.1x 17.4x 15.7x 18.7x
0.08x 0.19x 0.20x 0.26x 0.38x
5.0x 14.1x 7.0x 5.9x 10.1x
NA 0.14x 0.20x 0.26x 0.36x
NA 11.0x 6.4x 5.8x 9.5x
Mean Median
13.1% 6.8%
17.5% 16.1%
12.1% 14.5%
2.8% 2.8%
18.5x 17.4x
0.22x 0.20x
8.4x 7.0x
0.24x 0.23x
8.2x 7.9x
Mean Median Fruit and Vegetable Calavo Growers Inc. Fresh Del Monte Produce Inc. Seneca Foods Corp. Total Produce plc
3 Years
PAGE | 7
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC COMPARABLES5 Price at ($ 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
9/21/15 52-wk High
$143.21 90.29 1.48 47.81 3.59 19.87 23.90 2.67 22.68 7.88 2.74 36.66 25.51 42.89 31.98
$0.84 39.85 15.30
91.3% 89.7% 19.0% 85.5% 80.3% 89.2% 68.3% 43.7% 59.0% 65.7% 69.9% 93.0% 73.8% 82.6% 55.5%
27.2% 95.2% 63.5%
Market Cap
$62,939 9,295 65 969 6,886 16,251 538 132 3,483 2,087 22,268 35,377 361 1,154 11,416
$23 23,707 402
Cash & Debt
$6,026 2,827 257 918 4,246 3,744 28 647 289 2,712 19,558 11,270 46 0 63
$151 7,322 313
Equiv.
$6,805 1,679 32 9 1,956 2,187 3 40 97 137 3,309 268 59 104 691
$0 5,130 2
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$62,160 10,444 290 1,878 9,176 17,808 562 739 3,675 4,662 38,517 46,379 348 1,050 10,788
$174 25,899 712
Revenue
$115,944 25,724 793 3,791 35,064 39,568 598 4,030 3,261 17,963 95,399 108,784 1,575 2,828 15,207
$1,159 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
$20.42 75.01 97.90 56.52 37.97 24.76 9.05 80.43
$731.19 12.28 49.23 23.77 13.25 186.04 11.37 52.60 35.27
71.8% 75.0% 96.1% 85.0% 83.1% 67.4% 77.3% 83.9%
96.4% 31.7% 71.3% 53.8% 47.3% 89.4% 68.3% 54.4% 75.7%
$734 2,744 92,203 1,294 7,686 1,286 2,627 34,682
$22,771 470 1,306 327 376 5,056 344 800 683
$244 659 17,902 110 8,860 466 2,397 3,399
$0 136 74 2 30 100 0 0 27
$13 18 3,999 10 689 23 1,198 636
$879 6 6 52 2 125 54 65 24
$966 3,385 106,106 1,395 15,856 1,729 3,827 37,445
$21,891 599 1,375 277 404 5,031 289 736 687
$463 1,531 26,016 251 2,669 595 1,988 13,078
$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
$4,656 1,483 11 240 1,832 2,422 49 121 273 793 1,724 5,537 66 155 1,414
5.8% (8.1%) 0.7% (0.8%) (11.9%) (9.2%) 19.6% 15.3% 20.4% 4.6% (9.1%) 4.6% 5.1% 3.7% 9.3%
6.8% (1.5%) 12.6% 1.5% (0.2%) 0.8% 23.6% 1.3% 43.4% 16.1% (2.0%) 5.4% 4.1% 0.9% 10.9%
12.9% 24.2% 31.4% 23.4% 6.4% 26.8% 29.1% 26.3% 29.4% 15.0% 2.9% 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% 1.8% 5.1% 4.2% 5.5% 9.3%
27.4x 29.6x NM 16.3x NM 18.7x 32.7x NM 31.5x 15.7x NM 18.9x 12.2x 20.2x 19.2x
0.54x 0.41x 0.37x 0.50x 0.26x 0.45x 0.94x 0.18x 1.13x 0.26x 0.40x 0.43x 0.22x 0.37x 0.71x
13.4x 7.0x NM 7.8x 5.0x 7.4x 11.5x 6.1x 13.5x 5.9x NM 8.4x 5.3x 6.8x 7.6x
0.51x 0.38x 0.37x 0.49x 0.25x 0.42x 0.78x 0.18x 0.95x 0.26x 0.41x 0.41x NA NA 0.66x
12.7x 5.9x 7.1x 7.6x 5.0x 6.6x 9.9x 6.1x 11.5x 5.8x 9.2x 8.2x NA NA 7.3x
Mean Median
3.3% 4.6%
8.3% 4.1%
22.7% 26.3%
5.2% 5.2%
22.0x 19.2x
0.48x 0.41x
8.1x 7.4x
0.47x 0.41x
7.9x 7.3x
(8.9%) 4.7% 20.1%
(5.5%) 4.7% 28.7%
2.1% 17.6% 25.0%
2.0% 4.8% 5.2%
NM 34.7x 27.9x
0.15x 0.53x 0.78x
7.4x 11.0x 15.0x
0.15x 0.51x 0.64x
7.1x 10.3x 10.3x
5.3% 4.7%
9.3% 4.7%
14.9% 17.6%
4.0% 4.8%
31.3x 31.3x
0.49x 0.53x
11.2x 11.0x
0.43x 0.51x
9.2x 10.3x
23.4% 3.6% (8.1%) 13.2% 156.0% 8.6% (11.6%) (3.6%)
NA 10.5% (1.8%) 15.2% 5.1% 3.0% (6.9%) (0.5%)
22.3% 27.7% 37.8% 64.9% 48.0% 54.4% 33.5% 25.7%
13.8% 18.7% 34.7% 32.5% 31.0% 26.6% 18.8% 20.6%
31.0x 27.5x 22.8x 31.3x NM 23.7x 36.3x 39.4x
2.09x 2.21x 4.08x 5.56x NM 2.91x 1.93x 2.86x
15.1x 11.8x 11.7x 17.1x NM 10.9x 10.2x 13.9x
1.89x 2.13x 4.31x 4.98x 3.88x 2.77x 2.60x 2.63x
12.8x 11.0x 11.8x 15.5x 9.4x 10.1x 9.8x 11.8x
Mean Median
22.7% 6.1%
3.5% 3.0%
39.3% 35.7%
24.6% 23.6%
30.3x 31.0x
3.09x 2.86x
13.0x 11.8x
3.15x 2.70x
11.5x 11.4x
$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%
44.8x 10.6x 33.1x NM NM 30.6x NM NM NM
4.93x 1.68x 2.12x 1.34x 0.93x 1.92x 0.82x 4.81x 3.42x
23.0x 9.7x 14.8x 12.6x 8.8x 12.9x 8.6x NM NM
4.32x 1.53x 1.85x 1.07x 0.82x 1.86x 0.73x 3.57x 2.74x
19.9x 8.8x 12.2x 9.8x 8.9x 12.4x 7.9x 22.9x 34.1x
Mean Median
19.3% 17.3%
32.1% 36.0%
28.2% 25.9%
13.0% 10.6%
29.8x 31.9x
2.44x 1.92x
12.9x 12.6x
2.06x 1.85x
15.2x 12.2x
$23 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
$64 286 9,032 81 827 158 374 2,696
PAGE | 8
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC COMPARABLES5 Price at ($ 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
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
As a % of
9/21/15 52-wk High
$44.77 203.90 29.82 41.48 5.12 54.24 25.65
$20.17 52.66 70.27 92.67 78.71 6.54 37.66
$13.60 18.05 16.46
$111.03 69.11 17.55
$15.28 48.25 14.99 15.56 57.54
80.8% 99.2% 83.4% 95.7% 61.5% 92.2% 72.0%
76.8% 83.1% 92.9% 81.1% 82.9% 76.3% 92.3%
52.4% 66.4% 92.4%
92.7% 87.0% 77.2%
51.0% 85.0% 88.8% 69.7% 97.0%
Market Cap
$1,146 3,877 491 1,706 134 2,563 733
$2,474 3,165 8,972 1,749 1,115 405 2,639
$319 504 580
$6,097 2,727 297
$366 4,595 242 979 85,401
Cash & Debt
$75 0 0 361 162 104 101
$1,324 974 1,453 1,449 145 245 51
$0 165 0
$1,527 234 113
$0 2,503 0 12 2,937
Equiv.
$25 92 8 24 48 62 5
$133 55 690 104 23 75 71
$2 25 5
$26 22 1
$48 329 14 44 2,175
Enterprise Last Twelve Months (LTM)
Revenue Growth
Value (EV)
1 Year
$1,195 3,785 484 2,044 247 2,606 829
$3,665 4,084 9,735 3,094 1,237 575 2,619
$317 644 574
$7,599 2,938 409
$318 6,770 228 946 86,163
Revenue
$877 1,649 268 811 836 2,046 73
$4,476 3,002 6,855 675 1,237 1,127 1,705
$317 266 361
$2,080 1,647 109
$121 783 209 508 18,429
EBITDA
BOBE CBRL DENN FRS LUB
$45.86 148.39 11.54 3.69 4.96
76.2% 91.4% 90.2% 86.8% 83.6%
$1,026 3,558 961 18 142
$491 409 161 0 48
$6 265 5 7 2
$1,511 3,701 1,117 12 188
$1,345 2,842 489 22 396
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%
33.0x 41.9x 35.1x 40.8x NM 24.7x 102.5x
1.36x 2.29x 1.80x 2.52x 0.30x 1.27x 11.39x
11.0x 15.3x 15.5x 12.3x 8.6x 10.7x NM
1.23x 1.82x 1.56x 2.27x 0.49x 1.18x 10.33x
9.5x 11.8x 13.3x 9.3x 8.1x 9.7x 30.3x
Mean Median
19.9% 17.5%
23.2% 21.8%
33.2% 28.0%
15.6% 12.4%
46.3x 38.0x
2.99x 1.80x
12.2x 11.7x
2.70x 1.56x
13.2x 9.7x
4.4% 3.2% 8.0% 4.3% 15.7% (3.6%) 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% 17.2% 32.1%
10.0% 15.4% 12.2% 38.1% 11.0% 7.3% 11.8%
25.0x 17.3x 30.6x 34.2x 29.0x NM 29.2x
0.82x 1.36x 1.42x 4.59x 1.00x 0.51x 1.54x
8.2x 8.9x 11.7x 12.0x 9.1x 7.0x 13.1x
0.82x 1.20x 1.39x 4.54x 0.92x 0.51x 1.37x
7.5x 8.0x 10.7x 10.9x 8.0x 7.4x 11.0x
Mean Median
6.5% 4.4%
1.0% 2.1%
26.7% 21.7%
15.1% 11.8%
27.5x 29.1x
1.60x 1.36x
10.0x 9.1x
1.54x 1.20x
9.1x 8.0x
$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%
19.4x 1.1x 19.7x
1.00x 2.42x 1.59x
7.5x 12.8x 10.2x
0.88x 2.22x 1.48x
6.4x 10.6x 9.8x
Mean Median
18.7% 21.1%
6.0% 6.0%
27.4% 25.9%
16.0% 15.6%
13.4x 19.4x
10.1x 10.2x
1.53x 1.48x
8.9x 9.8x
$401 168 27
10.9% 8.6% 22.5%
8.3% 9.3% NA
30.4% 24.9% 49.9%
19.3% 10.2% 24.8%
35.8x 40.1x NM
3.65x 1.78x 3.76x
19.0x 17.5x 15.1x
3.38x 1.72x 3.11x
16.7x 15.5x 13.3x
Mean Median
14.0% 10.9%
8.8% 8.8%
35.1% 30.4%
18.1% 19.3%
38.0x 38.0x
3.07x 3.65x
17.2x 17.5x
2.73x 3.11x
15.2x 15.5x
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 28.2x NM 33.8x 32.4x
2.62x 8.64x 1.09x 1.86x 4.68x
29.3x 17.4x NM 14.3x 20.8x
2.21x 8.18x 2.07x 1.74x 4.16x
16.5x 16.0x 17.8x 11.7x 17.3x
9.7% 8.3%
6.0% 6.7%
43.3% 33.1%
23.6% 17.7%
31.5x 32.4x
3.78x 2.62x
20.4x 19.1x
3.67x 2.21x
15.9x 16.5x
$137 331 87 1 16
1.4% 5.9% 6.8% (27.6%) 0.8%
(5.1%) 3.3% (1.9%) 5.1% 3.5%
35.8% 32.6% 39.6% 17.1% 30.8%
10.2% 11.7% 17.9% 6.3% 4.0%
NM 21.8x 27.4x 12.2x NM
1.12x 1.30x 2.28x 0.54x 0.48x
11.0x 11.2x 12.8x 8.5x 11.9x
1.11x 1.26x 2.24x NA NA
9.7x 10.5x 11.6x NA NA
Mean Median
(2.5%) 1.4%
1.0% 3.3%
31.2% 32.6%
10.0% 10.2%
20.5x 21.8x
1.14x 1.12x
11.1x 11.2x
1.53x 1.26x
10.6x 10.5x
$449 461 834 257 136 82 201
$11 390 (2) 66 4,133 Mean Median
Family Restaurant Bob Evans Farms, Inc. Cracker Barrel Old Country Store, Inc. Denny's Corporation FORIS AG Luby's, Inc.
3 Years
1.67x 1.59x
PAGE | 9
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
PUBLIC EQUITY MARKET OVERVIEW FOOD AND BEVERAGE INDUSTRY STOCK PERFORMANCE5 150 140
21.5%
130
19.7%
120
10.1%
110
0.3%
100
(2.0%)
90 80
(3.0%)
70 Sep-14
Nov-14 Restaurant
Jan-15
Natural/Organic
Mar-15
Beverage
May-15
Private Label Food Manufacturing
Jul-15 Protein Processing/Dairy
Sep-15 S&P 500
M&A MARKET OVERVIEW Highlighted Food and Beverage M&A Transactions5 B&G TO ACQUIRE GREEN GIANT FROM GENERAL MILLS
Enterprise Value: $765mm Revenue Multiple: 1.1x EBITDA Multiple: 6.4x * Announced: September 3, 2015
B&G Foods has entered into an agreement to acquire the Green Giant brand from General Mills for $765 million in cash.
Green Giant produces frozen and canned vegetables for the retail channel. The transaction allows General Mills to focus on core brands and provides B&G with access to the freezer case and a platform for future frozen acquisitions.
FLOWERS FOODS TO ACQUIRE ALPINE VALLEY BREAD
Enterprise Value: $120mm Revenue Multiple: N/A EBITDA Multiple: N/A Announced: September 9, 2015
Flowers Foods has entered into an agreement to acquire Alpine Valley Bread from the Wood family for $120 million in cash and stock.
Alpine Valley, based in Mesa, AZ, produces certified organic and all-natural breads in the United States.
The transaction adds to Flowers’ organic and natural product offerings, building on its recently completed acquisition of Dave’s Killer Bread.
POST TO ACQUIRE WILLAMETTE EGG FARMS
Enterprise Value: $90mm Revenue Multiple: 1.1x EBITDA Multiple: 6.0x Announced: September 23, 2015
Post has entered into an agreement to acquire Willamette Egg Farms from the Satrum and Cunningham families for $90 million in cash.
Willamette, based in Canby, OR, produces shell eggs, specialty shell eggs, and value-added egg products.
The transaction is an add-on to Post’s Michael Foods division and bolsters the division’s status as the largest provider of cage-free egg products.
* Net of expected tax benefits.
PAGE | 10
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
M&A MARKET OVERVIEW* Food and Beverage M&A Trends5 ANNOUNCED FOOD & BEV. TRANSACTIONS 2.00x
14.0x
1.75x
10.0x
1.50x
11.3x 9.9x 8.8x
9.2x
8.3x
9.7x 8.6x
8.0x
8.0x
1.00x
6.0x
0.75x
4.0x
0.50x
2.0x 0.0x
1.25x
0.25x
2008
2009
2010
2011
2012
EV / L TM EBITDA
2013
2014
EV / L TM S ale s
YTD 2015
$120.7 $120
$94.0
$100
300 250
$67.2
$80
200
$55.7
$60
150
$40
100
$24.0
$20 $0
0.00x
350
$110.2
$9.3
2008
2009
50
$8.2 2010
2011
Number of Trans act ions
12.0x
400
$140
Aggregat e Deal Value ( $ inbillions )
16.0x
EV / LTM Sales Multiple
EV / LTM EBI TDA M ultiple
MEDIAN FOOD & BEV. TRANSACTION MULTIPLES
2012
2013
Agg re ga te Dea l Value
2014 # of dea ls
YTD 2015
0
Latest Deals and Announced Private Equity Activity5 LAST 10 DEALS ANNOUNCED
Announced 9/22/2015 9/15/2015 9/15/2015 9/11/2015 9/10/2015 9/9/2015 9/8/2015 9/8/2015 9/8/2015 9/4/2015
Target Willamette Egg Farms, L.L.C. Cargill, Small Pack Specialty Business Love Child (Brands) Inc. CoPak Solutions, Inc. Saint Archer Brewing Company Alpine Valley Bread Company Expresco Foods Inc. Natural Food Holdings, Inc. Bright Blue Foods Ltd. State Fish - HPP Business & Calpack
Buyer g p Post Holdings, Inc. (NYSE:POST) Brenntag AG (XTRA:BNR) GreenSpace Brands Inc. Star Snax, LLC Tenth and Blake Beer Company Flowers Bakeries, LLC Premium Brands Holdings Perdue Farms Inc. Endless LLP ICPK Corporation
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
46
43
31
18
10 0
2006
2007
2008
2009
2010
Number of Investments
2011
2012
2013
Number of Exits
2014
2015 YTD
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 11
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 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
09/15/15
Marufuku Shoten Co Ltd
Roasted coffee
JPY 150
Revolver/Line >= 1 Yr.
N/A
N/A
09/15/15
Marufuku Shoten Co Ltd
Roasted coffee
JPY 156
Term Loan
N/A
N/A
09/12/15
Morinaga & Co Ltd
Confectionery products
JPY 5,000
Revolver/Line >= 1 Yr.
N/A
N/A
09/08/15
China Huiyuan Juice Group
Canned fruits and vegetables
USD 197
Term Loan
N/A
385
09/04/15
Weetabix Ltd
Cereal breakfast foods
USD 350
Other Loan
N/A
400
09/04/15
Weetabix Ltd
Cereal breakfast foods
EUR 650
Term Loan B
N/A
400
08/28/15
Anheuser-Busch InBev
Malt beverages
EUR 9,000
Revolver/Line >= 1 Yr.
N/A
N/A
08/28/15
Charoen Pokphand Group
Poultry slaughtering/processing
EUR 15,000
Revolver/Line >= 1 Yr.
N/A
N/A
08/27/15
Ecom Agroindustrial Corp
Food preparations, nec
EUR 450
364-Day Facility
N/A
N/A
08/25/15
Ajinomoto Co Inc
Food preparations, nec
EUR 3,000
Term Loan
N/A
N/A
08/21/15
Kettle Cuisine LLC
Canned fruits and vegetables
JPY 54
Term Loan A
N/A
100
08/21/15
Kettle Cuisine LLC
Canned fruits and vegetables
USD 41
Term Loan B
N/A
100
08/21/15
Kettle Cuisine LLC
Canned fruits and vegetables
USD 10
Revolver/Line >= 1 Yr.
N/A
100
08/20/15
Heaven Hill Distilleries
Distilled and blended liquors
USD 250
Revolver/Line >= 1 Yr.
N/A
150
08/20/15
Heaven Hill Distilleries
Distilled and blended liquors
USD 200
Term Loan A
N/A
112.5
PAGE | 12
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 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
Number of Transactions
8
100
10
60 5
40
36
22
13
34 36
46 47 25
7
6 49
34
33
7
13 8
9
5
6
42
141 10
53 52 48
7
39
110
89
10 33
5
70
82 58 57
52 46 47
S trateg ic Ac quirer
Q31 5
Q21 5
Q11 5
Q41 4
Q31 4
Q21 4
Q11 4
Q41 3
Q31 3
Q21 3
Q11 3
Q31 2
Q41 2
Q21 2
Q11 2
Q41 1
Q31 1
Q21 1
Q11 1
Q21 0
Q11 0
0
Q40 9
Aug-15
Jul-15
Jun-15
May-15
Retail and Restaurants
25
4
7
7
7
4 3
Q30 9
Food Products, Processing, and Ingredie nts
Apr-15
Feb-15
Mar-15
Jan-15
Dec-14
Oct-14
Nov-14
Aug-14
Sep-14
20
10.0x
2 5
Q20 9
11.0x
20
6
80
Q41 0
12.0x
120
Q31 0
13.0x
Q10 9
M edian Trading M ult iple
18
140
14.0x
Priva te Eq uity Acqu irer
Recent Food and Beverage M&A5 Enterprise Announced
Seller
Target
Buyer
($mm)
Private Equity Geographic
Enterprise Value Sales
EBITDA
EBIT
Involvement
Location
9/22/2015 9/15/2015
Willamette Egg Farms, L.L.C. Cargill, Small Pack Specialty Business
WEF, INC. Cargill, Incorporated
Post Holdings, Inc. (NYSE:POST) Brenntag AG (XTRA:BNR)
$90.0 -
1.1x -
6.0x -
-
N.A.
9/15/2015 9/11/2015 9/10/2015
LNK Partners NBGI Private Equity Limited State Fish Company Inc
GreenSpace Brands Inc. Star Snax, LLC Tenth and Blake Beer Company
$5.7 -
1.5x -
9/9/2015 9/8/2015 9/8/2015 9/8/2015 9/8/2015 9/4/2015
Love Child (Brands) Inc. CoPak Solutions, Inc. Saint Archer Brewing Company Alpine Valley Bread Company Expresco Foods Inc. Lagunitas Brewing Company Natural Food Holdings, Inc. Bright Blue Foods Ltd. State Fish - HPP Business & Calpack
Flowers Bakeries, LLC Premium Brands Holdings Heineken NV (ENXTAM:HEIA) Perdue Farms Inc. Endless LLP ICPK Corporation
$120.0 $12.7
-
-
-
N.A. N.A. N.A. N.A. N.A. Cross Border N.A. EU N.A.
9/4/2015 9/4/2015 9/3/2015 9/2/2015 8/31/2015 8/31/2015
Elgorriaga Brands, S.A. Virtue Cider Company Nutrafur S.A. Green Giant, Le Sueur Stable & Frozen New York Fries Ltd. Canon Potato Company, LLC
General Mills, Inc. (NYSE:GIS) 122164 Canada Ltd. -
Energy Shot Iberica S.L. Fulton Street Brewery, LLC Frutarom Industries Ltd. (TASE:FRUT) B&G Foods North America, Inc. Cara Operations Limited (TSX:CAO)
$14.5 $765.0 -
1.1x 1.1x -
6.4x -
-
EU N.A. Cross Border N.A.
-
N.A.
Felda Global Ventures Gestion Ganuza S.L. -
$143.7 $39.3 -
-
QiZiNi Group B.V. Twin Rivers Technologies Dicot Partners, S.L Talbott Vineyards Proviand BV
H.C. Schmieding Produce Company, Inc Natsu Foods GmbH & Co. KG Viterra Inc. Yantai Changyu Pioneer E. & J. Gallo Winery, Inc. Like Meat GmbH
-
8/31/2015 8/27/2015 8/26/2015 8/26/2015 8/26/2015
0.5x 1.0x -
-
-
EU N.A. Cross Border N.A. EU
8/25/2015 8/25/2015 8/21/2015 8/21/2015 8/21/2015 8/20/2015 8/20/2015 8/19/2015 8/19/2015 8/18/2015 8/16/2015 8/12/2015 8/11/2015 8/11/2015 8/7/2015 8/7/2015 8/7/2015 8/7/2015
DOUX SA McNeil Nutritionals, LLC., Splenda Caesar's Pasta, LLC. B.V. Vurense Snack Industrie Norbest, LLC Deep Eddy Vodka & Spirits The Mediterranean Snack Food Hudson Baking Company, LLC Ovation Brands, Inc. Big Smoke Burger Inc. EWOS Group AS Dave's Killer Bread company Niagara Natural Fruit Snack Co., Inc. Aqua Farming Technology Inc. Pleasant Kids, Inc. (OTCPK:PLKD) Wallaby Yogurt Company, Inc. Irish Pride Bakeries Ltd. Twin Beans DoubleShot
Développement et Partenariat SA McNeil Nutritionals, LLC NPM Capital N.V.; SHV Holdings DE Spirits LLC Buffets Holdings, Inc. Albain Fund III, Bain Capital Goode Partners LLC Xl Biofuels, Inc -
Sofiprotéol; Terrena SARL TC Heartland LLC Consolidated Investment Group, LLC Hearthside Group Holdings, LLC J. D. Heiskell & Company, Inc. HeavenHill Distilleries,Inc. American Halal Company, Inc. Le Petit Pain Holdings, LLC Food Management Partners, Inc. MTY Tiki Ming Enterprises Inc. Cargill, Incorporated Flowers Bakeries, LLC SunOpta Inc. (TSX:SOY) New Global Energy, Inc. NEXT Group Holdings, Inc. The WhiteWave Foods Company Pat The Baker Ltd Twin Beans Coffee
$3.8 $1,495.1 $275.0 $6.7
-
-
-
Cross Border N.A. N.A. Cross Border Cross Border N.A. N.A. N.A. N.A.
-
-
-
$125.0 -
2.8x -
-
-
EU
N.A.
N.A. Cross Border N.A. N.A. N.A. N.A. N.A. EU N.A.
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 13
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
M&A OVERVIEW* Recent Food and Beverage M&A5 Enterprise Announced
Seller
Target
Buyer
($mm)
Enterprise Value Sales
EBIT
EBITDA
Private Equity
European
Involvement
Transaction EU EU N.A. N.A. EU N.A. EU EU N.A. EU EU N.A. N.A. N.A. EU EU EU Cross Border EU EU EU EU EU EU EU EU EU EU EU N.A. EU N.A. Cross Border EU Cross Border EU EU EU EU EU
$328.0 $6.1 $450.0 $5.4 $3.3 $109.8 $0.7 $871.8 $54.6 $34.1 -
1.6x 1.0x 1.5x 6.7x 1.3x 1.0x -
11.5x -
-
$1,927.7 $50.0
-
-
-
Universal Apparel & Textile Company Medican Enterprises, Inc. (OTCPK:MDC New Century Holdings, Inc. Nature's Path Foods, Inc. Devro plc (LSE:DVO)
$15.0
-
-
-
N.A. N.A. EU
Compagnie Mediterraneenne (Vrac) ITOCHU Corporation (TSE:8001) Kitwave Limited Alltech, Inc. Verlinvest S.A. Bacardi Limited Hempler Foods Group LLC Sun Capital Partners, Inc. Sentinel Capital Partners, L.L.C. Casual Dining Group Ltd. Bowmark Capital LLP International Spirit & Beverage Group Century Park Capital Partners, LLC Sobomar Atlantique SAS Ingredion Incorporated (NYSE:INGR) Royal Cup, Inc. Qinghai Huzhu Barley Wine Perceva Capital Murdoch Allan & Son Ltd. -
$12.0 $131.1 $100.0 -
0.9x -
10.0x -
-
Cross Border EU Cross Border Cross Border N.A. N.A. EU N.A. N.A. EU N.A. N.A. Cross Border EU EU
8/7/2015 8/6/2015 8/5/2015 8/5/2015 8/4/2015 8/4/2015 8/4/2015 8/3/2015 8/2/2015 8/1/2015 7/31/2015 7/31/2015 7/30/2015 7/30/2015 7/30/2015 7/30/2015 7/29/2015 7/27/2015 7/27/2015 7/25/2015 7/24/2015 7/24/2015 7/23/2015 7/23/2015 7/23/2015 7/23/2015 7/22/2015 7/22/2015 7/22/2015 7/22/2015 7/21/2015 7/21/2015 7/21/2015 7/19/2015 7/17/2015 7/17/2015 7/17/2015 7/17/2015 7/16/2015 7/16/2015 7/15/2015
Bobby & Fritz GmbH Classic Fine Foods UK Ltd Boyer's Coffee Company, Inc. Gold Pure Food Products Co., Inc. GRUPO CUTTING'S, S.L. Starr Restaurants Catering Group GP, LLC Buona Compagnia Gourmet s.r.l. The Kerfoot Group Ltd Just Baked LLC Meatsnacks Group Ltd Ab A.Kastén Oy Little Big Burger LLC Sunrise Growers, Inc. Paisley Farm, Inc. Thompson Bros. Salmon Limited Direct Ocean SA Sharrocks Fresh Produce Ltd. Spring Genetics Inc The Ilkley Brewery Company Limited Acetum S.r.l. Boojum Ltd. Taboada Grupo Alimentacio S.L. The Feel Good Drinks Company Ltd. Louis Royer SAS Euro Cakes S.p.A. World Feeds Limited Carte Noire, European Business La Rousse Foods Ltd. Fabrelac bvba B.R. Cohn Winery The 3D Pub Company Limited Merrick Pet Care, Inc. Cumberland Breweries Ltd. Societe Chiron A.C.V.F. (SAS) Italian Home Bakery Ltd. Seabrook Crisps Ltd. SCEA Des Domaines Roche Salés Sucrés SAS Locawo B.V. Interbrau GmbH Sersia España, S.L.
EQT Partners AB Assietta Private Equity SGR SpA Helmet Business Mentors Oy Paine & Partners, LLC; SGF Produce E.H.Booth & Co Ltd Glentrool Capital Partners LLP MBG International Premium Brands Suntory France S.A.S. Jacobs Douwe Egberts Trading Downing ONE VCT plc Highland Capital; Monitor Clipper Ameropa AG -
7/15/2015 7/15/2015 7/14/2015 7/14/2015 7/13/2015 7/13/2015 7/10/2015
Italpizza S.r.l. Susser Holdings Corporation Irca S.r.l. Cote Restaurants Ltd. LGI Wines Spartan Foods Of America, Inc. Encanto Vineyards, LLC
Bakkavör Group Ltd Energy Transfer Partners Essenze Italiane s.a.s. CBPE Capital LLP Linsalata Capital Partners; PNC
7/10/2015 7/9/2015 7/9/2015
County Choice Organic PV Industries B.V. Provence Huiles SA
7/8/2015 7/8/2015 7/8/2015 7/7/2015 7/7/2015 7/7/2015 7/7/2015 7/7/2015 7/7/2015 7/6/2015 7/6/2015 7/6/2015 7/4/2015 7/3/2015
Hulley's (Frozen Confectionery) Produs AS and Produs Aqua AS Leblon Holdings LLC Isernio's Inc. Fazoli's System Management, LLC Las Iguanas Limited Cavoda Spirits, LLC Mikawaya, Inc. Morillon Marée Kerr Concentrates, Inc. Teasy Teas, LLC Napa Chiles Valley Winery Dalloyau SA Thain's Bakery Limited
Autobahn Tank & Rast Holding METRO AG (DB:MEO) Luna Gourmet Coffee & Tea LaSalle Capital Guzman Gastronomia S.L. TrustHouse Services Group, Inc. Gradiente SGR S.p.A. Avril SCA Tubby's Sub Shops Inc. Cruga Biltong Ltd. Ab Chipsters Food Oy American Roadside Burgers, Inc. SunOpta Inc. (TSX:SOY) The Fremont Company Cooke Aquaculture Scotland Ltd. Freshpack SA Gilbert Thompson (Leeds) Ltd Benchmark Holdings plc (AIM:BMK) Half Full Beer Co Limited Clessidra SGR S.p.A. Renatus Capital Partners Industrias Alimentarias de Navarra Nichols plc (AIM:NICL) SASU Terroirs Distillers Biscuits Bouvard S.A.S Finance Yorkshire Luigi Lavazza S.p.A. ARYZTA Food Solutions Ireland FrieslandCampina Cheese & Butter Vintage Wine Estates, Inc. Brunning & Price Limited Nestlé Purina PetCare Company Alltech, Inc. Liffey Meats Ltd. Grupo Bimbo, S.A.B. LDC (Managers) Limited SAS Vins Et Compagnie Labeyrie Fine Foods PLC Cloetta AB (publ) (OM:CLA B) S.C.A. VIVESCIA Evolution; Union Regionale Des Coopera Dreamfood S.r.l Sunoco LP (NYSE:SUN) Ardian BC Partners IDIA Capital Investissement B&G Foods Inc. (NYSE:BGS)
EU EU N.A. EU EU EU N.A.
* 2015 M&A transactions include European and cross-border transactions.
PAGE | 14
FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
FOOD AND BEVERAGE EARNINGS RELEASE CALENDAR Earnings Release Calendar5 September 2015 Date
Company
9/29/2015 9/29/2015 9/29/2015 9/29/2015
Bonduelle SA (ENXTPA:BON) Diamond Foods, Inc. (NasdaqGS:DMND) Landec Corp. (NasdaqGS:LNDC) Costco Wholesale Corporation (NasdaqGS:COST)
October 2015 Date
Company
10/1/2105 10/5/2015 10/5/2015 10/6/2015 10/6/2015 10/8/2015 10/8/2015 10/8/2015 10/19/2015 10/20/2015 10/20/2015 10/21/2015 10/22/2015 10/22/2015 10/22/2015 10/26/2015 10/28/2015 10/29/2015 10/30/2015
McCormick & Company, Incorporated (NYSE:MKC) ARYZTA AG (SWX:ARYN) Frosta AG (DB:NLM) Yum! Brands, Inc. (NYSE:YUM) Pepsico, Inc. (NYSE:PEP) Suedzucker AG (DB:SZU) Domino's Pizza, Inc. (NYSE:DPZ) Ruby Tuesday, Inc. (NYSE:RT) 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) The Cheesecake Factory Incorporated (NasdaqGS:CAKE) Panera Bread Company (NasdaqGS:PNRA) Starbucks Corporation (NasdaqGS:SBUX) 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 11/4/2015 11/5/2015 11/5/2015 11/5/2015 11/5/2015 11/6/2015
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) The Wendy's Company (NasdaqGS:WEN) Kikkoman Corp. (TSE:2801) Molson Coors Brewing Company (NYSE:TAP) Tate & Lyle plc (LSE:TATE) Treehouse Foods, Inc. (NYSE:THS) Sapporo Holdings Ltd. (TSE:2501)
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FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
OUR FIRM Harris Williams & Co. has a broad range of industry expertise, which creates powerful opportunities. Our clients benefit from our deep-sector experience, integrated industry intelligence and collaboration across the firm, and our commitment to learning what makes them unique. For more information, visit our website at www.harriswilliams.com/industries. Aerospace, Defense & Government Services
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FOOD AND BEVERAGE INDUSTRY UPDATE │ SEPTEMBER 2015
HARRIS WILLIAMS & CO. SOURCES
1. IMF 2. U.S. Bureau of Labor Statistics 3. Unweighted Average 4. U.S. Census Bureau 5. Capital IQ 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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